There is a growing need to foster, among Japanese students, the development of high proficiency English skills necessary to function, communicate, and compete in today’s globalized business paradigm. Within Japan, there are concerns that differences, between Japan and other East Asian countries, in English language education, are causing measurable declines (as evidenced by TOEFL & TOEIC scores) in English ability in Japanese students. To determine the types of English skills university graduates truly need, given the realities of today’s rapidly globalizing society, it can be useful to examine the specific needs of international businesses and companies in Japan. Is the current system of English education in our universities adequately preparing college students to be sufficiently competent in today’s business world? <br> Here, an overview of Japan’s junior and senior high school English education, compared with those in other East Asian countries, is given. Japan’s English education curricula and contents lag behind the more progressive systems found in neighboring countries. A decades long de-emphasis in vocabulary and grammar requirements, and a concomitant emphasis on oral-based communication materials, in Japan’s English curricula, has weakened the reading and writing abilities of incoming university students. <br> Specific feedback from the Institute for International Business Communication in Japan suggests that the skills business people deem important are negotiating ability, judgment, and research capacity. Business people need these specific skills together with a strong, fluid, and fluent command of English, in order to execute face-to-face, and telephone-mediated discussions and in executing tough negotiations and meetings. Similarly, strong writing abilities are needed in drafting and organizing e-mails and business letters. <br> To better prepare graduates who can truly compete in business, some concrete suggestions, based on second language acquisition theories, are given. Critical and analytical abilities, that is, cognitive development in English learning, should be fostered and emphasized. Before a wide variety of outputs can be expected, students must first be provided with sufficient levels of the right types of input. Also, lessons should feature interactive and student-centered practices, following and consistent with the concepts of Content-Based Instruction or late immersion programs.