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Japan Inc. A Miracle A Model: The East Asian Strategy From:

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Presentation on theme: "Japan Inc. A Miracle A Model: The East Asian Strategy From:"— Presentation transcript:

1 Japan Inc. A Miracle A Model: The East Asian Strategy From: http://benmuse.typepad.com/ben_muse/2005/11/changes_in_inco.html

2 Economic Philosophy Nationalism/Protectionism Exports

3 Rich Nation, Poor People “Salaryman”Capsule Hotels

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5 What is Japan Inc.? 1.Business-Government relations 2.Industry-Industry relations 3.Labor-Management relations

6 Business-Government relations Partnership Yoshida Doctrine “GNPism” Yoshida Shigeru PM 1946-7, 1948-54

7 Administrative Guidance Ministry of Economy, Trade, and Industry formerly Ministry of International Trade and Industry (MITI) The Visible Hand?

8 2. Industry-Industry relations Pre-war Zaibatsu Mitsui Mitsubishi Sumitomo (Mazda, NEC) Yasuda (dismantled post-WW II)

9 Post-War Keiretsu From: http://www.wtec.org/loyola/polymers/c7_s7.htm

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11 3. Labor-Management Relations 1950s: the end of independent unions Company Unions Lifetime Employment

12 Dilemmas Inflexibility Protectionism and competition Innovation?

13 Collapse of Bubble Economy, 1990 Pay back loans Build factories Loans Hire people Buy land Build offices Pay back Loans Banks Government Companies

14 GDP Growth in Japan 1956-2008

15 Japanese GDP From Sian Fenner, The Japanese economy and future growth prospects, Department of the Treasury, Australia, http://www.treasury.gov.au/documents/817/HTML/docshell.asp?URL=05_article_4.asp

16 Another Look From: http://japanjapan.blogspot.com/2008/02/japan-q4-2007-gdp.html

17 GDP Growth 1980-2013


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