Japan’s political
shake-up could aid
Hawaii economy

An Oahu summit focuses
on how to boost isle tourism
in the meantime

By Russ Lynch
Star-Bulletin

The new leaders of the Japanese government will be able to get economic recovery under way and Hawaii's tourism will benefit, a Japanese travel industry leader says.

Meanwhile, despite the setback in the economy and the weakness of the yen, Japanese can be persuaded to come to Hawaii with the right incentives, Isao Matsuhashi, chairman of Japan Travel Bureau Inc., said at the conclusion of a Japan-Hawaii Tourism Summit yesterday.

He likes the appointment of a former prime minister, Kiichi Miyazawa, as Japan's new finance minister. Matsuhashi sees Miyazawa as a political veteran and a statesman with the ability to make things happen. "That's good news to me. He's an old man of 78 but he has experience in the economy" and can get things done, Matsuhashi said.

Prime Minister Keizo Obuchi is also a good choice, said Matsuhashi, who described Obuchi as a friend who is not outspoken but is effective.

The political changes are setting Japan on the right path and tourism to Hawaii will begin to climb again soon, "hopefully by the end of this year," but meanwhile Hawaii is going to have to work for the business, said Matsuhashi, who is also chairman of the Japan Association of Travel Agents.

"The (weakening) yen is a short-term problem," he said, adding that the key is to offer value for money.

The Japanese have large savings accounts, are willing to spend money and want to travel, especially to Hawaii, he said.

Price is not as much of a factor as the perception that they're getting value for their money, he noted. Offer the Japanese tourists exciting new things to do and new places to go and they'll pay the price. One the most valuable assets Hawaii has is the "spirit of aloha" and it should never be neglected, Matsuhashi said.

People who have contact with Japanese tourists should go out of their way to make them individually welcome, he said. "People receiving tourists become complacent."

Matsuhashi and Glenn Zander, president and chief executive officer of Aloha Airlines, jointly chaired the tourism summit, the first of its kind organized by the Japan-Hawaii Economic Council.

They said the private meeting, which included most of Japan's top travel industry leaders and key representatives of Hawaii's tourism industry, analyzed the causes of the current slowdown in Japanese tourism.

Both said they believe the weakness in the yen against the dollar is a short-term problem and said Hawaii still is getting about 2 million tourists a year from Japan. But their stays are shorter and they are spending less, Zander said. Both sides agreed to take a closer look at remedial proposals that include niche marketing, such as bringing young Japanese to stay in private homes, and promoting corporate incentive travel using the new Hawaii Convention Center, Zander said.

Meanwhile, Hawaii is still the No.1 overseas destination in the minds of Japanese travelers, said Matsuhashi, who added that after 40 years in the travel business, visiting most of the world, he personally finds the islands the best place to visit.