Tadashi Yanai is a billionaire businessman who laid the foundation for the Japanese casual wear brand Uniqlo. Today the trading network is spread all over the world and brings in billions of dollars in turnover.
Short biography of Tadashi Yanai
Tadashi Yanai was born in 1949 in the Japanese city of Ube to the family of a menswear shop owner. The future businessman graduated from high school in his city and entered Waseda University in Japan at the Faculty of Political Science and Economics.
In his student years, the future entrepreneur was interested in literature on the topic of the company’s listing on the stock exchange. Yanai did not have a particular zeal for knowledge. At that time, he was interested in the game of mahjong. During his youth, Yanai opposed the Vietnam War and was also a member of the hippie movement.
After graduating from university in 1971, Yanai with a prestigious education went to work as a tableware salesman in the JUSCO supermarket. After working for about a year, the future businessman was forced to leave this job at the request of his father. The father said that his son, who has a good education, should use his knowledge to his advantage in the family business.
Family business history
Tadashi Yanai’s success story begins with his father’s family business, where the future businessman gained good trading experience.
Tadashi’s father, Kanichi Yanai, opened a small men’s clothing store Ogori Shoji in 1949. The store was known for its unusual opening hours – unlike its competitors, it opened at 6 a.m.
A little later, in 1963, Tadashi’s father created an organization of the same name, the authorized capital of which was 6,000,000 yen. It was still far from a large retail chain, however, by 1984, the Ogori Shoji chain already had 22 stores.
In 1972, Yanai joined his father’s company. Over time, he was captured by the process of selling clothes. The future businessman was determined to continue the family business.
There was a lot of work. Yanai handled almost everything on his own, from sourcing suppliers to cleaning retail space. Working for his father’s company gave Tadashi good experience in organizing the work process and attracting customers.
My father created a good base for starting development, but Tadashi himself is sure that he created his business practically from scratch.
Uniqlo business is born
The idea goes back to the distant childhood of a businessman. When Yanai first tasted American coffee, he became interested in America’s culture, lifestyle, and Western business models. In 1960, Tadashi visited the United States for the first time. After the trip, the future businessman began to admire the country even more – he was amazed that the country of emigrants was able to achieve high development.
While working in his father’s shop, Yanai realized that the clothing trade was profitable. In 1984, he decided to implement the information he had learned about American business models and created his retailer, Fast Clothing Retailing.
He opened his first store, Unique Clothing Warehouse (abbreviated as Uniqlo), in Hiroshima in 1984. This store, unlike my father’s store, sold not only men’s clothing. Tadashi has expanded the range with unisex casual wear at budget prices.
Uniqlo Business Development
The crisis that occurred in the early 90s gave a serious impetus to Tadashi’s business. People began to save money and paid attention to inexpensive economy-class clothing. Uniqlo, which sells cheap plain clothes, was able to make great money, unlike its competitors who sell high-value items.
After making a good profit, Tadashi began to expand his business, opening stores in other small towns. By 1994, the chain had 100 stores in different parts of Japan.
Going to the world level
In 2001, Yanai decided to enter the global stage because he was already confident in the strength of Uniqlo.
The initial goal was to open stores in China, the USA, and the UK. The first store was opened in London and instantly won the love of the consumer. Tadashi began to expand the distribution network – 21 outlets were established in England. Yanai then switched to America, where he opened 3 stores in New Jersey. By 2001, one store had been established in China as well.
Overseas points brought good profits, but by 2003 the situation had changed dramatically.
