On the point of Japan not knowing how to sell, I still think the Japanese hesitated because they originally wanted to make the subs in Japan and then send them to Australia because that would better safe guard Japanese secret sub tech. Not only did Abott get replaced, the condition of building the subs in Australia for Australian jobs and industry was also a changed requirement. I don't see how being military means the Japanese don't know how to sell. I think it's a red herring point. They been trying to sell all sorts of things to other countries with government involvement such as Shinkansen, nuclear power plants, and other sorts of infrastructure projects. And there is one military item that has been in the works at the same time as the sub, the US-2 floatplane to India. Japanese netizens were overwhelmingly relieved to hear that Japan lost. I saw one news article saying that the Japanese bid might have a new chance from the election, I think I can fairly represent the Japanese opinion with a no thank you, unless.. the deal goes back to making the subs in Japan.
It's far from a red herring point, international defence sales are a world of their own, with direct and indirect political overtones you don't even find in other sales to government. The French have been doing it for donkeys years all over the world, the Japanese do not have this depth of experience either institutionally or individually. I'm not saying the Japanese don't have salesmen who could flog ice to Inuit or people who could have done a far better job, but they weren't on this team. The whole issue of domestic production, proves the point. Off the shelf or DIY +/- local content is a default question for any defence purchase in Australia - and with Submarines we've got a whole factory custom built just for the job so it is inevitable local content would come up in any open selection process. The French knew this going in and worked it into their strategy (as did the Spanish), I don't believe the Japanese bid did more than mumble about the ASC facility for maintenance without much supporting materiel - but I haven't read the actual bid so grain of salt on that.