Abstract
In order for Japanese firms to cope with "servitization" of the economy, insights into the Japanese institution (=socio-economic system, nature, structure and constitution) are required. Hofstede, Dutch sociologist, claims that Japanese culture is characterized by relatively high uncertainty avoidance tendency and large power distance. It is indispensable to analyze and shed light on the interaction between such cultural nature and seemingly competitive Japanese entertainment game software, old-established travel inn ("Ryokan") which sells its "hospitality", logistics related to convenience store chains, excessive expectations on the side of customers and excessive service offered by suppliers, and seemingly low productivity of the Japanese service industry, based on the practical service taxonomy.
