[ Capabilities ][ Staff ][ Clients ][ Press ][ Library ][ Contact ]| Corporations and Investors Position Themselves to Compete in the New Japan NEW YORK--March 19, 2003 The Japan External Trade Organization New York (JETRO NY) released a newsletter today highlighting corporate and investor activity in Japan. It can be viewed at: http://www.jetro.org/newyork/focusnewsletter/focus21.html. * Japanese Corporate and Financial Practices in the Midst of Fundamental Change -- Nomura Securities reports that M&A transactions involving Japanese firms rose 25% in 2002. -- Japan's Nikkei newspaper notes 51% of Japanese listed firms saw share ownership by financial institutions decline compared with six months ago. -- One recent account stated temporary workers in Japan are expected to soon number more than 15 million -- nearly 30% of the nation's workforce. -- It has been reported that corporate bankruptcies in Japan rose to 19,500 in 2002 - the second highest figure on record -- and only 5% sought reconstruction under government-sponsored rehabilitation measures. * Japanese Firms Restructure to Enhance Their Competitiveness -- Seibu Department Stores recently announced a 1.9 billion yen reorganization plan. -- NKK Corp and Kawasaki Steel merger achieved the top position in a survey listing the new group as the top choice of 43 major institutional investors. -- Matsushita initiated a complete reorganization, creating full autonomy among its business units. -- Nissho Iwai and Nichimen plan to integrate their operations into a single holding company. -- Shinsei Bank and Seiyu are adopting many new practices as a result of investments they received from foreign shareholders. -- Marubeni appointed a restructuring veteran to lead firm back to profitability. -- Minolta and Konica are slated to consolidate their operations. -- Hitachi plans to dispose of operations that account for about 20% of net sales to improve its profitability. * Entrepreneurial Firms Introduce New Business Models in Japan Entrepreneurial firms are changing social dynamics and economic trends to identify market niches where they can command a competitive advantage. * Foreign Corporate and Portfolio Investors Begin to Expand their Japanese Exposure American Chamber of Commerce in Japan president Lance Lee, noted in a recent interview with the Nikkei Weekly that "...personally, I'm very optimistic about the future of Japan. With a society of people with high literacy, a strong work ethic and a good habit of saving, no businessperson can help but be optimistic." -- Goldman Sachs recently announced an investment of approximately $1.26 billion in Sumitomo Mitsui Financial Group as well as four hotels in another transaction totaling over $360 million. -- Walmart has become the major shareholder of the Seiyu supermarket chain. -- Prada, Ferragamo, Christian Dior and Coach all announced their intention to open major new stores in Japan this year. -- U.S. real estate giant CB Richard Ellis announced plans to invest (Y)300 million in Japan over next two years. Data and statistics have been compiled by JETRO from publicly-released media accounts. JETRO does not guarantee their accuracy, and any such information should be checked by the reader before they are used to make any business or investment decision. Contact: Satoshi Miyamoto JETRO NY Tel. 212/997-0416 Fax: 212/997-0464 Satoshi_Miyamoto@jetro.go.jp Focus is published and disseminated by JETRO New York, in coordination with KWR International, Inc., New York, NY 10023, Tel: 212-532-3005, Fax: 212-799-0517, E-mail: kwrintl@kwrintl.com. JETRO New York is registered as an agent of the Japan External Trade Organization, Tokyo, Japan and KWR International, Inc. is registered on behalf of JETRO New York. This material is filed with the Department of Justice where the required registration The preceeding information is provided by: KWR International, Inc. New York, NY 10023 Phone: +1.212.532.3005 Fax: +1.212.799.0517 E-mail: kwrintl@kwrintl.com Website content © 2003 KWR International |