Decline of Johnny’s Type of Business

The scandal of historical sexual abuses by the founder Johnny Kitagawa is developing to bring the consequences, severely damaging the business of Japan’s most powerful talent agency Johnny & Associates. After Kitagawa’s niece Julie Keiko Fujishima, the president of the agency, apologized to the sufferers of her ancle’s abuses in a press conference on September 7th, major sponsors consecutively announced that they would revise their contracts with Johnny’s. In addition to the compensation for the past suffered talents, Johnny & Associates is likely to face financial difficulty to run its business. 

In the press conference, Fujishima revealed her intention that she would remain in the board of the agency, which caused skepticisms about the seriousness on the issue. Although she passed her position to a talent Noriyuki Higashiyama, accusation against Higashiyama’s past power harassments to younger colleagues came up immediately. The sufferers were frustrated with the decision that the name of “Johnny’s” for the company would be maintained.

 

On the day of Fujishima’s press conference, Japan Air Line announced that it would stop the appearance of Johnny’s talents in the TV commercials for the time being. Major beer maker Asahi Holdings, Kirin Holdings, Suntory Holdings, Nissan Motors followed JAL. As the Chair of Japan Association of Corporate Executives, Suntory’s CEO Takeshi Niinami, told in September 12th that the apology of Fujishima had been insufficient. “As foreign corporations and media is interested in this issue,” Niinami stressed, “appearances of Johnny’s talents mean acceptance of child abuse, causing international accusation. The corporations in Japan had to show firm attitude against it.”

 

The corporations that decided to stop using Johnny’s talents in the commercial spread to the insurance companies, food and beverage makers and hamburger chains. Although some company tried to maintain the relationship with Johnny’s office, they followed the business trend of standing against sexual abuses. Business community in Japan has been relying on the good-looking talents in their commercial to achieve positive images on their products, on which most consumers do not have any question. It is natural that the corporations leave the talents, if their appearances cause negative image on the products.

 

Johnny & Associates announced their measures for caring the suffered talents, and decided to pay all the rewards for performance to the talents affiliated to Johnny’s. It will be done for one year to come. It is not obvious, however, that the measures can calm down the criticisms. On the other hand, TV stations do not show any activity to turn their back to Johnny’s, on the basis that the talents themselves are not guilty. Johnny’s talents still appear in the TV shows every day.

 

The movement reminds of the unique structure of business in Japan. Corporations do anything to catch their customers. Using talents is the most convenient way to improve their corporate identity. The consumers actually do not have a bad image on the products, which their favorite talents recommend to you. If a TV show with popular talents enjoys a great share of watching, the corporations are likely to be a sponsor of the program. That is why TV also relies on Johnny’s talents. Johnny’s fans support that business. As long as the fans believe Johnny’s talents are the someone who embody their love, courage, dream and hope, Johnny’s type of business will not disappear.

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