Public Policies and Ethnic Entrepreneurs Dealing Used Cars and Car Parts from Japan to the Global Market: Focusing on Pakistani and South Asian Transnational Migrants

Type de publication:

Conference Paper

Auteurs:

Fukuda,T.

Source:

Gerpisa colloquium, Paris (2019)

Mots-clés:

ethnic businesses, Japan, migrant entrepreneurs, Pakistan, reuse and recycling industry, South Asia, the UAE, used auto parts, used car

Résumé:

Purpose (the outline of the research questions)
There are many migrant entrepreneurs engaged in used cars and used parts trading business in Japan. South Asians including Pakistani are representative actors in these industries. Their markets spread not only inside Japan but also all over the world. Pakistani used car dealers are famous among African, South American and Oceanian markets.
Why are there many Pakistani and South Asian entrepreneurs in this field? The reason is not simple. The multiple factors overlap, such as historical circumstances, political changes, economic trends, transition of legal systems or development of immigration networks. In this paper, we focus on the influences of the public policies of each country. The goal of this paper is to make it clear how Pakistani and South Asian migrants form their own niche markets and expand transnational trading networks, and, in addition, what roles their ethnic ties have in the formation of transnational communities.

Design (Methodology)
Presenter has engaged in research on Pakistani and South Asian migrant communities since 1998, focusing on entrepreneur networks (mainly used car and used parts dealers) in Japan, the UAE, Pakistan and New Zealand. This presentation is based on sociological research including field-works, interviews, participant observations, and other demographic and trade statistic data.

Findings (main results) and practical implications
Ethnic businesses are defined as the businesses operated by ethnic minority of a certain society. In Japan, ethnic minorities have actively dealt the second-hand commodities. The reuse and recycling industries (venous industry) can be regarded as one of typical examples of ethnic businesses. Considering about the history of reuse and recycling, the scrap iron wholesale businesses (metal recycling industry) was the important example. The metal recycling industry was known as one of the niche industries of Korean residents (called ‘old-timers’) in Japan.
Since the late 1970s, the stage of ethnic businesses in the reuse and recycling industries changed slightly. New immigrants (called ‘newcomers’) began to enter the market. Typical examples of this period were Pakistanis who entered the used car and auto parts trading industry. This movement is not limited to Pakistanis. Other South Asians such as Bangladeshis, Sri Lankans and Afghans and African such as Nigerian, Ghanaian and Cameroonians also entered.
The main characteristic of newcomers’ businesses was the international distribution rather than domestic distribution. Until then, Korean residents dealt used commodities with their compatriots within Japan due to era constraints. Meanwhile, newcomers’ businesses were based on the export transactions to their compatriots of the countries of origin. The connections with their overseas fellows were indispensable. In other words, "international reuse" emerged at that moment.
Looking back on history like this, Japanese reuse and recycling industries and ethnic businesses had the relationship. However, European and American research on ethnic businesses have paid little attention to reuse and recycling industries. The small industries such as small-scale retail grocery stores, restaurants and textile manufacturing industries have been taken up as representative industries though. However, it does not indicate that we cannot find the reuse and recycling industries of ethnic businesses in Europe and the United States. For example, the used car sales businesses are dealt by South Asian immigrants in Vancouver and Calgary, Canada. Research related to this topic has not been accumulated yet in Europe and the United States. The attention to the relation between international reuse and recycling and ethnic businesses is a unique viewpoint of this paper. Especially we focus on market formation process in the two countries, Japan and the United Arab Emirates.
Furthermore, there are circumstances unique to Japan. It overlaps with the reason why Japan could be the origin of second-hand commodities trade worldwide. Taking cars and auto parts as an example, Japanese automobile manufacturing industry is at the top level in the world. That’s why the second-hand car and parts industries are flourishing in Japan.

Texte complet:

Purpose (the outline of the research questions)
There are many migrant entrepreneurs engaged in used cars and used parts trading business in Japan. South Asians including Pakistani are representative actors in these industries. Their markets spread not only inside Japan but also all over the world. Pakistani used car dealers are famous among African, South American and Oceanian markets.
Why are there many Pakistani and South Asian entrepreneurs in this field? The reason is not simple. The multiple factors overlap, such as historical circumstances, political changes, economic trends, transition of legal systems or development of immigration networks. In this paper, we focus on the influences of the public policies of each country. The goal of this paper is to make it clear how Pakistani and South Asian migrants form their own niche markets and expand transnational trading networks, and, in addition, what roles their ethnic ties have in the formation of transnational communities.

Design (Methodology)
Presenter has engaged in research on Pakistani and South Asian migrant communities since 1998, focusing on entrepreneur networks (mainly used car and used parts dealers) in Japan, the UAE, Pakistan and New Zealand. This presentation is based on sociological research including field-works, interviews, participant observations, and other demographic and trade statistic data.

Findings (main results) and practical implications
Ethnic businesses are defined as the businesses operated by ethnic minority of a certain society. In Japan, ethnic minorities have actively dealt the second-hand commodities. The reuse and recycling industries (venous industry) can be regarded as one of typical examples of ethnic businesses. Considering about the history of reuse and recycling, the scrap iron wholesale businesses (metal recycling industry) was the important example. The metal recycling industry was known as one of the niche industries of Korean residents (called ‘old-timers’) in Japan.
Since the late 1970s, the stage of ethnic businesses in the reuse and recycling industries changed slightly. New immigrants (called ‘newcomers’) began to enter the market. Typical examples of this period were Pakistanis who entered the used car and auto parts trading industry. This movement is not limited to Pakistanis. Other South Asians such as Bangladeshis, Sri Lankans and Afghans and African such as Nigerian, Ghanaian and Cameroonians also entered.
The main characteristic of newcomers’ businesses was the international distribution rather than domestic distribution. Until then, Korean residents dealt used commodities with their compatriots within Japan due to era constraints. Meanwhile, newcomers’ businesses were based on the export transactions to their compatriots of the countries of origin. The connections with their overseas fellows were indispensable. In other words, "international reuse" emerged at that moment.
Looking back on history like this, Japanese reuse and recycling industries and ethnic businesses had the relationship. However, European and American research on ethnic businesses have paid little attention to reuse and recycling industries. The small industries such as small-scale retail grocery stores, restaurants and textile manufacturing industries have been taken up as representative industries though. However, it does not indicate that we cannot find the reuse and recycling industries of ethnic businesses in Europe and the United States. For example, the used car sales businesses are dealt by South Asian immigrants in Vancouver and Calgary, Canada. Research related to this topic has not been accumulated yet in Europe and the United States. The attention to the relation between international reuse and recycling and ethnic businesses is a unique viewpoint of this paper. Especially we focus on market formation process in the two countries, Japan and the United Arab Emirates.
Furthermore, there are circumstances unique to Japan. It overlaps with the reason why Japan could be the origin of second-hand commodities trade worldwide. Taking cars and auto parts as an example, Japanese automobile manufacturing industry is at the top level in the world. That’s why the second-hand car and parts industries are flourishing in Japan.

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