A Study of Marketing Strategies of consumer Goods Manufactures in Postwar Japan from Business Historical Perspective

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The initial theme of this research project was the overview of marketing strategies of consumer goods manufacturers in postwar Japan. Investigating various historical materials and interviewing key individuals led the investigator to focus on the case of Lion Fat ＆ Oil Co. Some results of the case study are as follows.Firstly, Lion Fat ＆ Oil Co. implemented a three-fold distribution improvement program as a strategy to counter Kao. This program expressed the principle of mutual coexistence with associated wholesalers. Lion set up special sections that dealt exclusively in Lion products within each associated wholesaler and strove for penetration of Lion goods into retail sellers. Through this strategy, both associated wholesalers and retail sellers quickened the modernization of their management system, and this gave Lion an opportunity to get reliable market information. But some wholesalers were reluctant to accept of Lion's strategy, because long term business connections were threatened.Secondly, Lion Fat ＆ Oil Co. made efforts to rationalize its merchandize distribution system to cope with two urgent issues : 1)an increasing gap with Kao in term of the logistical effectiveness and cost of distribution system ; 2) the entry of foreign toiletry companies into the Japanese market. The new distribution system consisted of separate distribution systems for urban and rural area. The new system was implemented with limited success, partly because the impending merger of Lion Fat ＆ Oil and Lion Dentifrice Co. led to a reconsideration of the distribution system.