Abstract
This paper aims to analyze the diffusion of tungsten filament lamps in Japan and the strategy of Tokyo Electric.In the United States, General Electric (GE) developed drawn-wire tungsten lamps in 1910. This electric lamp was three times more efficient (w/candlepower) and lasted twice as long as a carbon filament lamp. In Japan, Tokyo Electric, a GE subsidiary, introduced tungsten lamps in 1911.Initially, this lamp was adopted by small scale electric power companies/utilities in rural areas and new market entrants in major city. Some electric power utilities in major cities were cautious in the introduction of the tungsten lamp. The revenues of electric power utilities may have declined if there was no increase in the demand for electrical lighting service, corresponding to the improvement in the efficiency of electric lamps. Tokyo Electric promoted tungsten lamps, by introducing them in installations with more and brighter electric lights. This served the mutual interest they shared with the electric power utilities, which was building a large customer base for lamp manufacturers.During World War I, many electric power utilities decided to introduce tungsten lamps and the main channel of distribution of the tungsten lamp was through a cooperative relationship with Tokyo Electric. Electric power utilities succeeded in internalizing the effect of improved lamp efficiency by revising the advantageous rates for electric lighting service. The tungsten lamps that were launched in Japan were adjusted for lower efficiency and longer life spans, compared with their US counterparts. Electric power utilities tend to emphasize the longer life spans. Furthermore, Tokyo Electric marked down the lamp price while maintaining quality standards. Thus, Tokyo Electric, which pioneered the distribution of tungsten lamps in Japan, reaped significant profits.
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