A Study on the Transition of Distribution Policy in Japan: The Relationship Between Promotion Policy and Adjustment Policy
Authors:   Asia-Europe Perspective Association, Yoo Ki-Joon 
Published: June 2018

The development of an industry including distribution sector is influenced by not only government policy but the related firms' behaviors. Recently the conflicts between large-scale retailers and small and medium distributors are getting more serious in the distribution sector of Korea. Nevertheless a harmonious solution has not been suggested yet. This situation is the direct motive of this paper.
I expect that this paper about the Japanese distribution policy is going to give us several suggestions. The distribution policy system is composed of competition policy, promotion policy, and adjustment policy. Competition policy intends to establish and maintain the fair trade order. The purpose of promotion policy is the reinforcement of distributors' competitiveness, and the intention of adjustment policy is to coordinate the conflicts among various distributors. I investigates the development of promotion policy and adjustment policy since 1945 in this paper.
Some conclusions are as below;Firstly, the primary object of promotion policy moved from the protection of small and medium distributors to their competitiveness reinforcement. Under the flag of distribution modernization, promotion policy was based on ‘the distribution revolution' rather than ’the dual structure'.
Secondly, Japanese government supported small and medium distributors by several methods including organizing them. But promotion policy transferred to systemizing distribution, building up distribution foundation, and suspending with city policy. Accordingly, the government's intention of supporting small and medium distributors was not so successful.
Thirdly, the conflict between small-medium distributors and large-scale retailers came up as a big socio-economic problem through 1960s after the ‘distribution revolution age.' The major issue in adjustment policy was that government tried to regulate large-scaled retailers.
Fourthly, there were various types of the regulation methods against large-scale retailers; the declaration system by inspection in advance, the assignment of restraining store establishment district, the administrative guidance, and the regulation by local autonomous entities. The regulation effect was very strong by these measures.
Fifthly, the promotion policy was harmonious with the adjustment policy early in the 1970s. Government recognized that the competitiveness reinforcement of small and medium distributors could be realized through the regulation against large-scaled retailers. This intention has gone through 1980s and was the most distinctive feature in Japanese distribution policy.
Sixthly, but since 1990s promotion policy and adjustment policy shifted to deregulation under the new distribution circumstances; open-door, competition-oriented, culture-oriented, local-oriented, and environment-oriented atmosphere. These two policies were converged into each other by including town planning factors in their policies. Accordingly deregulation in distribution policy becomes a major trend. But we have to decide finally about the changes of promotion policy and adjustment policy after the synthetic investigation including distribution competition policy.