Trust: How to Build Strong Business Relationships in Japan and Beyond

Trust is a critical component of successful business relationships. Without trust, it is difficult to establish and maintain healthy relationships with customers, employees, suppliers, and partners. In this article, we will dive into two different types of trust, cognitive and affective trust in various aspects of business. The focus will be on how foreign professionals working in Japan or with counterparts in Japan can benefit from understanding these concepts.

What is Cognitive Trust

Cognitive trust refers to the rational and logical trust that is based on an individual's perception of the competence, reliability, and predictability of the person or entity being trusted. It is established through

• a supplier's history of delivering high-quality products and services

• fair and transparent policies, systems, and processes in the workplace

• the reputation for quality, reliability, and transparency of a brand.

Cognitive trust can be developed by focusing on establishing clear expectations and delivering on promises, being transparent in communication, and demonstrating a strong work ethic.

How does cognitive trust manifest in a work setting? It could be a customer who trusts a brand because of its reputation for producing high-quality products, as demonstrated by its track record and independent reviews. It could also be an employee who trusts their boss to make fair and rational decisions based on their expertise and experience.

What is Affective Trust

Affective trust on the other hand refers to the emotional and personal trust that is based on an individual's feelings of comfort, empathy, and goodwill towards the person or entity being trusted. It is established through positive interpersonal relationships and a supportive work environment. Customers are more likely to purchase from and remain loyal to a brand that they feel a personal connection with, while employees are more likely to be engaged, motivated, and productive in a workplace where they feel valued and supported.

Imagine a customer trusts a small, local business because of the personal relationship they have established with the owner and not because of the quality or price of the product. That is a form of affective trust. Another example is an employee who trusts their boss because of the supportive and inclusive work environment they have created and the interpersonal relationship they have established over the years. Another example would be hiring someone who is a friend or even a family member over someone with experience and skills in the field. From an outside perspective, that might often get labeled as nepotism but from an insider's perspective who values affective trust, someone they have strong ties with is a lot more trustworthy than an outsider.

The Importance of Balancing Cognitive and Affective Trust

It's important to note that neither cognitive or affective trust is in any form superior. We all rely on a blend of both types but culturally might have a tendency to lean more towards one of them. Europeans and North Americans tend to prioritize cognitive trust while in Japan affective trust plays a much bigger role.

For foreign professionals working in Japan or with counterparts in Japan, building affective trust can be challenging due to cultural differences in communication styles and social norms. In Japan, building affective trust often involves spending time getting to know one another on a personal level, such as by sharing meals or participating in social activities together. Therefore, foreign professionals should be open to building personal relationships with their Japanese counterparts, and should take the initiative to participate in social activities and engage in casual conversation to build rapport.

While both cognitive and affective trust are important in building successful business relationships, it is essential to balance these two types of trust to achieve the best outcomes. Overemphasis on cognitive trust may lead to a cold and impersonal work environment especially in Japan, while overemphasis on affective trust may lead to a lack of accountability and reliability. Therefore, finding the right balance between cognitive and affective trust may require a nuanced approach.

It is important to be mindful of cultural differences in communication and decision-making styles, and to be adaptable and flexible in building relationships. By focusing on building both cognitive and affective trust, foreign professionals can establish strong and successful business relationships with their Japanese counterparts.

Conclusion

As with so many aspects of cross-cultural communication, it is about balance and there is no magic bullet. However, by being patient, persistent, and curious about different perspectives, foreign professionals can establish strong and successful business relationships with their Japanese counterparts. It starts with being mindful about the preferences of the local team and then gradually building relationships and trust by spending more time with co-workers at dinners or - as it is the perfect time now - hanami gatherings (cherry blossom viewings).