Abstract

This paper investigates how and why the Japanese model has undergone changes in the context of its internationalization, during which foreign countries, particularly the U.S. and Germany, adopted Japanese methods, departing from their own traditional models at the turn of the twentieth century. By examining the dynamicprocesses of these transformations in national models, this paper critically reviews prevalent paradigms of neoliberalism and institutionalism, proposing an alternative of “mutual learning by reflexive agents.” By exploring the dynamic processes of the Japanese model’s internationalization and transformation, in which the Japanese model fell into crisis and underwent transformation in the changed context of international competition caused by the internationalization of the Japanese model, this paper proposes a new conception of “mutual learning by reflexive agents” in the context of international competition, in which agents, inspired by foreign competitors, critically reconsider their own institutions and, in turn, generate a new divergence in the process of creative learning.