The Gap's Banana Republic stores are traditional retail shopping venues, regardless of the theme of the stores. In contemporary Japan, however, 75 percent of all Japanese women are employed, and 40 percent of the Japanese work force is comprised of women ("Understanding," 1993, pp. 39-42). These women have less time and inclination to tread through retail shops than their predecessors who lived more traditional lives, and they have more spending power than ever. Working Japanese women still stay at home until they marry and they are marrying later. Without rent and car payments, they are an ideal target marketing organizations that can offer them name brands, quality, and value. A traditional retail venue, however, may not be the best way to attract contemporary shoppers in Japan.
Japanese consumers are moving from passive status to involved participants, often dictating what the end product will look like (Mummert, Orr, & Yorgey, 1996, pp. 14-19). The Japanese consumer demands to be involved and to be heard. The Japanese market is becoming a consumer–driven marketplace. The consumer is going to dictate where and when they buy and from whom. While Japanese nationals on vacation may flock to Banana Republic stores located in Hawaii, there is little reason to believe that they will flock to Banana Republic stores located in Japan when they are leading their very busy work-oriented lives.
Contemporary Japanese consumers also tend to want a specific brand. When in the past, segmentation was done by demographics, segmentation in contemporary Japan tends to be based on product and service preferences or lifestyles. This consumer preference "plays right into the hands of direct marketers who are the most adept at finding and reaching these … markets" (Mummert, Orr, & Yorgey, 1996, p. 16). Thus, one option that the Gap might wish to explore for the company's Banana Republic venture in Japan is the establishment of a Banan...