SUSTAINABLE BUSINESS MANAGEMENT IN DIGITAL SOUTHEAST ASIA: JAPANESE FIRMS IN LAO PDR

Since World War II, East Asia, including Japan, South Korea, and China, has achieved significant economic development, while many Southeast Asian economies still require further sustainable growth. Business promotion is crucial for economic development in capitalist societies, with Southeast Asia focusing on innovation and digitalization, offering unprecedented opportunities for global operations. Over recent decades, Japanese enterprises have increased foreign direct investment in Southeast Asia, fostering local market expansion and sustainable growth. This study explores the cultural and business communicative barriers hindering Japanese firms from achieving high performance and how to overcome barriers to success. This study is based on semi structured interviews with Japanese managers leading organizations in Lao PDR. In their own words, these managers identify challenges and how they are able, or unable, to overcome them regarding staff, training, communicating, Digital Transformation, and conducting regular business. Drawing from these comments and experiences, we seek to describe best practices and strategies, prescribe some approaches that may be usable for other managers, and map the areas still requiring investigation. Effective overseas operations require network resources locally and cultural sensitivity for success in East Asia's dynamic business environment. Lao PDR, despite steady progress, faces significant challenges, including lack of resources, inequality, and inadequate infrastructure. The government is focused on sustainable development and improving digitalization, yet funding and training remain hard to resolve.