Japanese language allows you to combining forms, sounds and even shapes through intra-and inter-languages since it has incorporated Chinese characters, foreign signifying text form, Okinawan dialect, Americanized words/texts and etc...

To give a concrete example, here is a word, outside Military Base, written in Japanese: 

基地外  

This word can be separated by each Kanji character (Chinese) and can express independent meaning.  It can be combined in several different ways.  

The most important features of the word play rests on the way you can mix and match Kanji, Foreign word, Japanese, Okinawan to make the word "speak" different meanings.

The word in its form, you can play as I have described above.

But it gets more interesting and sophisticated when you can combine form, sound, shapes to create multiple meanings.  In Japan, you get a pillow for each good pun you come up with.  If you come up with bogus pun, then a pillow is taking away.  It's a game and also a metaphor.  I can tell you more later if you're interested.

Getting back to the mix match effect that actually creates a hybrid and fused word beyond an original word.  So the word is 基地外。If you sound it off, it will read "Kichigai" and if you write it in foreign signified word, キチガイ。You can also write it in another form, きちがい, or you can write it in different Kanji,気違い, to mean crazy.  So, I just laid out some materials that one can use for hybridazation of the word.

Let me give you examples of what can be created from this process:

基地害 (same sound; different kanji) Damage by the military bases

基地ガイ (foreign signified text) A guy from the military bases

基地GUY (English tacked on to the Kanji) A guy from the military bases

気違い (different kanji; same sound) Crazy

気 違い (insert space between first and the second/third kanji) Difference in sense

 

基地内Inside the base/no base