Re: "World" music
Japanese music is already called J-pop and J-Rock depending on the genre. As for how other cultures label their music, thay probably have their own terms, better asking them rather than theorize blindly.
For my part, I think world music is a fine categorization as it is. Otherwise we would have to categorize EVERY form/genre/style/subgenre. My local record store has a whole section labeled World music but which use countries as subcategories ; I think that's it's probably the best compromise in terms of both respect and efficiency. Otherwise it would be an administrative nightmare.
I know the term is pretty U.S.A.-centric, but we gotta learn to live with some music journalist's misnomer that got accepted as a whole genre descriptor.
--Hawksun
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