I. Introduction
Every end of the year, the Japan Kanji Aptitude Testing Foundation chooses one kanji letter, or a Chinese character which represents and symbolizes the year of Japan by pubic voting. Sadly in last year, 2007, it was “nise” that means fake, sham, and not genuine but intended to seem real. The reason this pessimistic character was chosen is in this year, many companies’ “nise” scandals were found out one after the other. This paper will argue that corporate behavior in Japan is too frequently immoral and unethical because of the highest priority of profit, their too strong anxiety for consumer’s preference, and ignorance of ethical education in business school in Japan.
II. Situation
Since last year, Japan’s food industries’ false labeling scandals tumbled out one after the other ; Australian beef sold as Japanese, mixed rice labeled as single variety, retired roosting chickens which the company had bought at rock-bottom prices sold as top-quality free-range chicken (Tabuchi) , the produced dates changed to the future’s dates, and so on. Only in October, nearly 30 companies scandals related to false labeling came out. These scandals shocked consumers hard and became social issue as food safety and unreliable labeling.

Specially, disguising foreign products as domestic one and changing the expiration dates were typical. When it comes to the first one, already in 2002 when bovines spongiform encephalopathy (BSE) problem which is also known as mad-cow disease broke out, Snow Brand Co. and Nippon Meat Packers which both are well-known companies in Japan had relabeled Australian beef as domestic beef to claim subsidies through a government buyback scheme intended to help alleviate the damage caused by the disease scare and it became a social issue. As the changing expiration date, famous Cookie maker Ishiya Trading Co. falsified the dates to get rid of excess stock, while many companies reused out-of-date products. After these scandals, some companies went bankruptcy. The other companies are trying to recover consumer’s trust; for example, many companies redesigned or established their moral and ethical standards.

In spite of that, a study of corporation ethics or business ethics is new, so education system of it at business schools is still in the process of research and developing. According to report of Prof. Hino’s team in Aichi University of education, 17 out of 33 business schools or management graduate schools in Japan have a corporate ethics course. 4 of them have also a corporation social responsibility, (CSR) or compliance class which is related to corporation ethics. 6 schools make it a required subject, and two of them make it an elective required one. On the other hand, in the United State, all 10 surveyed schools have the course but it is a required subject at only 3 schools. The situations of the ethical education at business schools in both two countries are not so different but can be said that both of them are insufficient and have a lot of improvement.

III. Cause
These situations seem to cause and relate to recent food scandals. Even though food industries must have known what is wrong and right based on their moral and ethics, why did they ignore it?

Firstly, the companies pursue an immediate profit too much.　Actually, it is essential on business that companies work hard for cutting down on expenses and promoting sales as much as they can. However, when its priority goes above their consciousness of moral or ethics, the dishonest acts which neglect consumers happened. False labeling scandals such as written above would be led by these companies which ignore moral and ethics on management and have the highest priority on profit.

Secondly, their too strong anxiety for consumer’s wrong belief and preference might cause these scandals. They have several confidences such as Japanese consumers have absolute reliance for domestic productions or they prefer the shorter expiring date. In fact, in the article of the Japan Times, it is said that “…appalled over rampant product problems in neighboring China, a major trading partner had been turning domestic produce as a sure sign of quality.” (Tabuchi) this conception obsesses them and led the false labeling as domestic food. Also, companies put shorter expiring dates which they believe consumers feel natural and healthy for, because they consider consumers think less food additive is proportional to shorter expiring dates. One food industry worker said, “Now we have a technology like an evacuated system which keeps products fresh without a food artificial for a good while. Consumers do not know about it and avoid buying them if the expiring dates are longer than their expectations.” (“Shokuhin Gisou”) It is said that to put shorter expiring date is the cause of rewriting label and reuse of productions. Companies’ anxiety and priority for consumer’s preference can lead scandals.

Thirdly, Japanese education system of corporation ethics is not enough because a study is new and the requisite facility training is absent, another subjects in a curriculum of business school already overcrowded, or some people argue that students over twenty or thirty years old need not have an ethical education. Consequently, many of business persons do not have ethical education and work without any fundamental knowledge and principle concept. It can be said a serious cause of immoral and unethical acts of companies.

IV. Solution
Then, what are the solutions? I will argue them from three aspects of the causes which are corporations’ attitude to pursue only profit, insufficiency of ethical education and companies too much anxiety for consumers.

Firstly, they need to have view that is not how to exploit money from society, but hoｗ their products or service contribute to their society. A famous management consultant and university professor, Peter Drucker stated that what is important is that management realizes that it must consider the impact of every business policy and business action upon the society. It has to consider whether the action is likely to promote public good, to advance the basic beliefs of our society, to contribute its stability, strength, and harmony. (Drucker 342) As a result, companies become aware of the value of keeping compliance and winning consumers’ trust. Seeing management for a long span, this awareness makes much more profit than pursuing an immediate profit. Concretely, in order to do it, I suggest companies redesign or establish their moral and ethical standards and form the section to work to keep them. For reference, Nippon Meat Packers set up a Quality Assurance Division, a Corporate Ethics Committee, and a Safety & Testing Office after their scandals and now they are recovering consumer’s trust.

Secondly, companies should not be worried too much about consumers’ preferences and should have a pride for their products. A professor of Harvard business school, Sharon Parks states that ethical choices in business involve not only the “how,” but also the “what.” She said “…, what is to be marketed may be a moral question as well.” (Parks 57) If they have confidence to quality of their products or technology for keeping them fresh or high quality, it can become possible they sell products showing as they are.

Thirdly, the education program of business schools should emphasize on not only management techniques but corporation ethics also. According to the other professor of Harvard business school, Thomas Piper, students who are in their twenties and thirties, are at a critical stage in the development of their perceptions about capitalism, business practice, leadership, and the appropriate resolutions of ethical dilemmas in business. (Piper 5) He also says that business education must be ab enterprise of both the intellect and the spirit. (Piper 4) I strongly suggest that at the spot of business education, corporation ethics and moral should regard as more important subject than that of now.

V. Conclusion
Food is really closely related with all people’s lives and health; however, its information on which we relay consumers can depend is only a label of the package. That means food industries should be honest and trustworthy. As the present situation, they have many problems such as the highest priority of profit, their too strong anxiety for consumer’s preference, and ignorance of ethical education in business school. However, several improvements can be seen, for example, reform of companies’ moral standards or establishment of sections working for compliance.