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A keiretsu (系列, literally system, series, grouping of enterprises, order of succession) is a set of companies with interlocking business relationships and shareholdings. It is a type of informal business group. The keiretsu maintained dominance over the Japanese economy for the second half of the 20th century. The members companies own small portions of the shares in each other's companies, centered on a core bank; this system helps insulate each company from stock market fluctuations and takeover attempts, thus enabling long-term planning in projects. It is a key element of the manufacturing industry in Japan.

Contents

1 History 2 Types of keiretsu

2.1 Horizontal keiretsu 2.2 Jump-style keiretsu

3 Nature of the keiretsu

3.1 In Japan 3.2 Outside Japan

4 Contrarian view

4.1 United States- Japan
Japan
bilateral accords (agriculture and auto)

5 See also 6 References 7 Further reading

History[edit] The prototypical keiretsu appeared in Japan
Japan
during the "economic miracle" following World War II
World War II
and the collapse of family-controlled vertical monopolies called zaibatsu. Prior to World War II, Japan's industrialized economy was dominated by four major zaibatsu: Mitsubishi, Sumitomo, Yasuda and Mitsui. They focused on steel, banking, international trading and various other key sectors in the economy, all of which was controlled by a holding company. Apart from this, they remained in close connection to influential banks that provided funding to their various projects.[1]

Seizure of the zaibatsu families' assets, 1946

The zaibatsu had been viewed with some ambivalence by the Japanese military, which nationalized a significant portion of their production capability during World War II. Remaining assets were also highly damaged by the destruction of the war. Under the American occupation after the surrender of Japan, a partially successful attempt was made to dissolve the zaibatsu. Many of the economic advisors accompanying the SCAP administration had experience with the New Deal
New Deal
program under President Franklin Delano Roosevelt, and were highly suspicious of monopolies and restrictive business practices, which they felt to be both inefficient, and to be a form of corporativism (and thus inherently anti-democratic). During the occupation of Japan, 16 zaibatsu were targeted for complete dissolution, and 26 more for reorganization after dissolution. Among the zaibatsu targeted for dissolution in 1947 were Asano, Furukawa, Nakajima, Nissan, Nomura, and Okura. Their controlling families' assets were seized, holding companies eliminated, and interlocking directorships, essential to the old system of intercompany coordination, were outlawed. Matsushita (which later took the name Panasonic), while not a zaibatsu, was originally also targeted for dissolution, but was saved by a petition signed by 15,000 of its unionized workers and their families.[2] However, complete dissolution of the zaibatsu was never achieved, mostly because the United States government rescinded the orders in an effort to reindustrialize Japan
Japan
as a bulwark against Communism
Communism
in Asia.[3] Zaibatsu
Zaibatsu
as a whole were widely considered to be beneficial to the Japanese economy and government, and the opinions of the Japanese public, the zaibatsu workers and management, and the entrenched bureaucracy regarding plans for zaibatsu dissolution ranged from unenthusiastic to disapproving. Additionally, the changing politics of the Occupation during the reverse course served as a crippling, if not terminal, roadblock to zaibatsu elimination. Even today, banks and trading companies remain at the top of the pyramid, having access and control over a portion of each company's part of the keiretsu. Shareholders succeeded over the family control of the cartel. This was made possible with relaxing of Japanese laws whereby holding companies could become stockholding companies. Types of keiretsu[edit] Cartels and groupings of various kinds are common in Japan. The two types of keiretsu, horizontal and vertical, can be further categorized as:

Kigyō shūdan (企業集団, "horizontally diversified business groups") Seisan keiretsu" (生産系, "vertical manufacturing networks") Ryūtsū keiretsu (流通系列, "vertical distribution networks")

Horizontal keiretsu[edit] The primary aspect of a horizontal keiretsu (also known as financial keiretsu) is that it is set up around a Japanese bank through cross-shareholding relationships with other companies. The bank assists these companies with a range of financial services. The leading horizontal Japanese keiretsu, also referred to as the “Big Six”, include: Fuyo, Sanwa, Sumitomo, Mitsubishi, Mitsui, and Mizuho Financial Group . Horizontal keiretsu may also have vertical relationships, called branches. Horizontal keiretsu peaked around 1988, when over half of the value in the Japanese stock market consisted of cross-shareholdings. Since then, banks have gradually reduced their cross-shareholdings. The Japanese corporate governance code, effective from June 2015, requires listed companies to disclose a rationale for their cross-shareholdings. Partly as a result of this requirement, the three Japanese "megabanks" descended from the six major keiretsu banks (namely Mitsubishi
Mitsubishi
UFJ Financial Group, Sumitomo
Sumitomo
Mitsui
Mitsui
Financial Group and Mizuho Financial Group) have indicated plans to further reduce their balance of cross-shareholding investments.[4] Jump-style keiretsu[edit] Vertical keiretsu (also known as industrial keiretsu) are used to link suppliers, manufacturers, and distributors of one industry. One or more subcompanies are created to benefit the parent company (for example, Toyota
Toyota
or Honda). Banks have less influence on distribution keiretsu. This vertical model is further divided into levels called tiers. The second tier constitutes major suppliers, followed by smaller manufacturers, who make up the third and fourth tiers. The lower the tier, the greater the risk of economic disruption; moreover, due to low position in the keiretsu hierarchy, profit margins are low.[5] Nature of the keiretsu[edit] At the epicenter of the "big six" keiretsu are a bank and a trading company (sogo shosha). Japanese banks are allowed to have equity in other firms with a quota of less than 5% of the total number of shares issued by the company (Anti- Monopoly
Monopoly
Law Reform of 1977). Banks play a crucial role in the smooth functioning of this organization. They assess the investment projects and provide loans when required. The trading companies (sogo sosha) deal in imports and exports of an assorted range of commodities throughout the world. Each major company has its own "President's Club", enabling interaction of core members to better help decide their strategies.[1] The Japanese keiretsu took various preventive measures to avoid takeovers from foreign companies. One of them was "interlocking" or "cross-holding" of shares. This method was established by Article 280 of Commerce Law. By doing so, each company held a stake in the other's company. This helped reduce the pressure on management to achieve short-term goals at the expense of long-term growth. Besides that, interlocking of shares serves as a tool for monitoring and disciplining the group's firms. The level of group orientation or strength between the member companies is determined by the "interlocking shares ratio" (the ratio of shares owned by other group firms to total shares issued) and the "intragroup loans ratio" (the ratio of loans received from financial institutions in the group to total loans received). Industries such as banking, insurance, steel, trading, manufacturing, electric, gas and chemicals are all part of the horizontal keiretsu web. The member companies follow the "One-Set Policy" whereby the groups avoid direct competition between member firms. The One-Set Policy:[6]

Industry Mitsui Mitsubishi Sumitomo Fuyo Sanwa DKB

Banking Sakura Bank Bank
Bank
of Tokyo- Mitsubishi
Mitsubishi
Bank Sumitomo
Sumitomo
Bank Fuji Bank Sanwa Bank Dai-Ichi Kangyo Bank

Trust Banking Mitsui
Mitsui
Trust & Banking Mitsubishi
Mitsubishi
Trust & Banking Sumitomo
Sumitomo
Trust & Banking Yasuda Trust & Banking Toyo Trust & Banking

Life Insurance Mitsui
Mitsui
Mutual Life Meiji Mutual Life Sumitomo
Sumitomo
Mutual Life Yasuda Mutual Life

Fukoku Mutual life, Asahi Mutual life

Marine & Fire Insurance Mitsui
Mitsui
Marine & Fire Tokio Marine & Fire Sumitomo
Sumitomo
Marine & Fire Yasuda Marine & fire

Nissan
Nissan
Marine & Fire, Taisei Marine & Fire

Trading Company Mitsui
Mitsui
Bussan Mitsubishi
Mitsubishi
Shoji Sumitomo
Sumitomo
Corporation Marubeni Nissho Iwai Itochu

Steel Japan
Japan
Steel
Steel
Works Mitsubishi
Mitsubishi
Steel
Steel
Manufacturing Sumitomo
Sumitomo
Metal Industries JFE Steel
Steel
Corporation Nakayama Steel
Steel
Works, Nisshin Steel Kawasaki Steel, Kobe Steel

Chemicals Mitsui
Mitsui
Toatsu Chemicals Mitsubishi
Mitsubishi
Gas Chemicals Sumitomo
Sumitomo
Chemicals Kureha Chemical Industries Sekisui Chemicals Asahi Chemical Industries

Shipping Mitsui
Mitsui
O.S.K. Lines ("MOL") Nippon Yusen
Nippon Yusen
Kaisha ("NYK Line") Kawasaki Kishen Kaisha ("K Line")

In the 1920s, government officials maintained close relations with the zaibatsu, and the roots of their influence still hold strong. The keiretsu have great influence on Japanese industrial and economic policy. The preferential buying habits of the keiretsu kept foreign investors and foreign goods out of their markets, which America criticized as "barriers to free trade". This enabled the keiretsu to enjoy monopoly privileges over the Japanese market, thus maintaining high prices for their goods, as they had full dominance over the price and distribution of products and services throughout the supply side. It is believed that due to this practice, Japan
Japan
in the late 1980s imported far less than it should have ($40 billion less as per a report by the Brookings Institution).[citation needed] In such a work environment, the probability of an employee to remain working in the same company for his entire working life was very high. Moreover, this framework allowed rapid co-operative development (sharing vital information, reduction in cost of R&D and higher quality products) of the keiretsu.[1] In Japan[edit] During the occupation of Japan, under the Supreme Commander of the Allied Powers, General Douglas MacArthur, a partially successful attempt was made to dissolve the zaibatsu in the late 1940s. Sixteen zaibatsu were targeted for complete dissolution, and 26 more for reorganization after dissolution. However, the companies formed from the dismantling of the zaibatsu were later reintegrated. The dispersed corporations were reinterlinked through share purchases to form horizontally integrated alliances across many industries. Where possible, keiretsu companies would also supply one another, making the alliances vertically integrated, as well. In this period, official government policy promoted the creation of robust trade corporations that could withstand heavy pressures from intensified trade competition.[7] The major keiretsu were each centered on one bank, which lent money to the keiretsu member companies and held equity positions in the companies. Each bank had great control over the companies in the keiretsu and acted as a monitoring and emergency bail-out entity. One effect of this structure was to minimize the presence of hostile takeovers in Japan, because no entities could challenge the power of the banks. Although the divisions between them have blurred in recent years, there have been nine major postwar keiretsu:[6]

Succeeded into Name Bank Major group companies

MUFG Mitsubishi Mitsubishi
Mitsubishi
Bank
Bank
(until 1996) Bank
Bank
of Tokyo- Mitsubishi
Mitsubishi
(1996–2005) Bank
Bank
of Tokyo- Mitsubishi
Mitsubishi
UFJ (2006– ) Mitsubishi
Mitsubishi
Trust and Banking Financial: Tokio Marine and Fire Insurance, Mitsubishi
Mitsubishi
Estate, Meiji Mutual Fund Construction: Pacific Consultants International Food: Kirin Brewery Electronics: Mitsubishi
Mitsubishi
Electric, Mitsubishi
Mitsubishi
Precision Trading and Commerce: Mitsubishi
Mitsubishi
Corporation Cars: Mitsubishi
Mitsubishi
Motors, Mitsubishi
Mitsubishi
Heavy Industries, Mitsubishi
Mitsubishi
Fuso Truck and Bus Corporation Petroleum: Nippon Oil, Mitsubishi
Mitsubishi
Oil, Mitsubishi
Mitsubishi
Nuclear Fuel Precision Machinery: Nikon Chemicals: Mitsubishi
Mitsubishi
Chemical, Mitsubishi
Mitsubishi
Gas Chemical, Mitsubishi Rayon Co., Ltd., Mitsubishi
Mitsubishi
Materials Corp., Mitsubishi
Mitsubishi
Plastics Industries, Asahi Glass, Nippon Synthetic Chemical Industries (Nippon Gosei) Paper: Mitsubishi
Mitsubishi
Paper Mills Ltd. Iron and Steel: Mitsubishi
Mitsubishi
Steel Shipping: Nippon Yusen
Nippon Yusen
Kaisha - "NYK"

SMFG Mitsui Mitsui
Mitsui
Bank
Bank
(until 1990) Sakura Bank
Bank
(1990–2001) Sumitomo
Sumitomo
Mitsui
Mitsui
Bank
Bank
(2001– ) Sony
Sony
Financial, Sony
Sony
Bank Financial: Mitsui
Mitsui
Real Estate, Mitsukoshi, Mitsui
Mitsui
Mutual Life, Mitsui Marine & Fire Food: Nippon Flour Mills, Mitsui
Mitsui
Sugar, Suntory Chemicals: Fujifilm, Mitsui
Mitsui
Toatsu Chemicals, Mitsui
Mitsui
Petrochemical Industries, Toagosei, Denki Kagaku Kogyo, Daicel
Daicel
Chemical Industries, Mitsui
Mitsui
Pharmaceuticals, Mitsui
Mitsui
Toatsu Fertilizers, Mitsui
Mitsui
Toatsu Dyes, Toray Trading and Commerce: Mitsui
Mitsui
Bussan Petroleum: General Sekiyu, Kyokuto Petroleum Industries Electronics: Fujifilm, Sony
Sony
Corporation, Yaussa Corporation, Ibiden, Toshiba Iron and Steel: Japan
Japan
Steel
Steel
Works Gaming: Sony
Sony
Computer Entertainment Entertainment: Sony
Sony
Pictures Entertainment, Sony
Sony
Music Entertainment other Sony
Sony
subsidiaries and Tokyo Broadcasting System Shipping: Mitsui
Mitsui
O.S.K. Lines ("MOL")

SMFG Sumitomo Sumitomo
Sumitomo
Bank
Bank
(until 2001) Sumitomo
Sumitomo
Mitsui
Mitsui
Bank
Bank
(2001– ), Sumitomo
Sumitomo
Trust and Banking Financial: Sumitomo
Sumitomo
Corporation, Sumitomo
Sumitomo
Corporation of America, Sumitomo
Sumitomo
Mitsui
Mitsui
Financial Group, Sumitomo
Sumitomo
Trust & Banking, Sumitomo
Sumitomo
Life Insurance
Insurance
Co., Sumitomo
Sumitomo
Real Estate, Mitsui
Mitsui
Sumitomo Insurance
Insurance
Co., Ltd., Sumitomo
Sumitomo
Realty & Development Co., Ltd., Presidio Ventures, Construction: Sumitomo
Sumitomo
Mitsui
Mitsui
Construction Co., Ltd., Sumitomo Densetsu, Sumitomo
Sumitomo
Osaka Cement Co., Ltd., Food: Asahi Breweries Rail: The Sumitomo
Sumitomo
Warehouse Co., Ltd., Hanshin Railway, Keihan Railway, Nankai Railway Trading and Commerce: Sumitomo
Sumitomo
Corporation Cars: Mazda Precise machinery: Sumitomo
Sumitomo
Heavy Industries, Ltd., Electronics: NEC, Sumitomo
Sumitomo
Electric Industries, Ltd., Iron and Steel: Sumitomo
Sumitomo
Metal Industries, Ltd., Mezon Stainless Steel Fzco., Sumitomo
Sumitomo
Light Metal Industries, Ltd., Chemicals: Sumitomo
Sumitomo
Chemicals, Nippon Sheet Glass
Nippon Sheet Glass
Co., Ltd., Sumitomo Bakelite Co., Ltd., Sumitomo
Sumitomo
Rubber Industries, Ltd., Dainippon Sumitomo
Sumitomo
Pharma, Mining: Sumitomo
Sumitomo
Metal Mining Co., Ltd. Forestry: Sumitomo
Sumitomo
Forestry Co., Ltd. Infrastructure: Nippon Koei

Mizuho Fuyo Fuji Bank
Bank
(until 2000) Mizuho Bank
Bank
(2000– ) Yasuda Trust and Banking Yamaichi Securities Financial: Yasuda Mutual Life, Yasuda Marine & Fire Food: Nisshin Flour Milling, Sapporo Breweries Precision Machinery: Canon, Hitachi, Ricoh Trading and Commerce: Marubeni Chemicals: Showa Denko, NOF Corporation, Kureha Chemical Industries, Nippon Sanso, Hitachi
Hitachi
Chemical, Asahi Kasei Rail: Tobu Railway Vehicles: Yamaha, Nissan Retail: Matsuya

Mizuho Dai-Ichi Kangyo (DKB) Dai-Ichi Kangyo Bank
Bank
(until 2000) Mizuho Bank
Bank
(2000– ) Kankaku Securities Orient Group Financial: Fukoku Mutual Life, Asahi Mutual Life, Nissan
Nissan
Marine & Fire, Taisei Marine & Fire Electronics: Fujitsu, Hitachi, Fuji Electric, Yaskawa Electric, Nippon Columbia Cars: Isuzu, Kawasaki Heavy Industries Power Generation: Tokyo Electric Power Petroleum: Showa Shell Sekiyu Precision Machinery: Asahi Optical Trading and Commerce: Seibu, Itochu, Iron and Steel: Kawasaki Steel, Japan
Japan
Metals, Kobe Steel Chemicals: Denki Kagaku Kogyo- Mitsui
Mitsui
Group, Nippon Zeon, Asahi Denka Kogyo, Sankyo Co., Lion Corporation, Kyowa Hakko Kogyo, Asahi Chemical Industries, Shipping: Kawasaki Kishen Kaisha - K-Line

MUFG Sanwa ("Midorikai") Sanwa Bank
Bank
(until 2002) UFJ Bank
Bank
(2002–2006) Bank
Bank
of Tokyo- Mitsubishi
Mitsubishi
UFJ (2006– ) Toyo Trust and Banking Food: Itoham Foods, Suntory Rail: Hankyu Railway, Keisei Railway Steel: Kobe Steel, Nakayama Steel
Steel
Works, Nisshin Steel Precision Machinery: Konica Minolta, Hoya Corporation Petroleum: Cosmo Oil Electronics: Hitachi, Iwatsu Electric, Sharp Corporation, Nitto Denko, Kyocera Trading and Commerce: Takashiama, Orix, Nissho Iwai Chemicals: Ube Industries, Tokuyama Corp, Hitachi
Hitachi
Chemical, Sekisui Chemical, Kansai Paint, Tanabe Seiyaku, Astellas Pharma, Daiso Co., Teijin, Unitika Fukusure Cars: Hitachi
Hitachi
Zosen Corporation Retail: Takashimaya Cinema: Toho Shin-Maywa

MUFG Tokai ( Toyota
Toyota
Group) Tokai Bank Chuo Trust Food: Kagome Cars: Daihatsu, Suzuki Motor, Toyota Steel: Daido Steel Precision Machinery: Ricoh Petroleum: Idemitsu Kosan Electronics: Ushio Industries Trading and Commerce: Matsuzakaya

Mizuho IBJ Industrial Bank
Bank
of Japan, New Japan
Japan
Securities Wako Securities IBJ Securities Cars: Fuji Heavy Industries
Fuji Heavy Industries
(Subaru) Precision Machinery: Ikegai, Riken Chemicals: Nippon Soda, Chisso Corporation, Nissan
Nissan
Chemical Industries, Tosoh Corporation, Hodogaya Chemical, Plas-Tech, Taihei Chemical, Japan
Japan
Organo, Kuraray

Toyota
Toyota
is considered the biggest of the vertically integrated keiretsu groups.[8] The banks at the top are not as large as normally required, so it is actually considered to be more horizontally integrated than other keiretsu. The Japanese recession in the 1990s had profound effects on the keiretsu. Many of the largest banks were hit hard by bad loan portfolios and forced to merge or go out of business. This had the effect of blurring the lines between the individual keiretsu: Sumitomo Bank
Bank
and Mitsui
Mitsui
Bank, for instance, became Sumitomo
Sumitomo
Mitsui
Mitsui
Banking Corporation in 2001, while Sanwa Bank
Bank
(the banker for the Hankyu-Toho Group) became part of Bank
Bank
of Tokyo- Mitsubishi
Mitsubishi
UFJ. Generally, these causes gave rise to a strong notion in the business community that the old keiretsu system was not an effective business model, and led to an overall loosening of keiretsu alliances. While they still exist, they are not as centralized or integrated as they were before the 1990s. This, in turn, has led to a growing corporate acquisition industry in Japan, as companies are no longer able to be easily "bailed out" by their banks, as well as rising derivative litigation by more independent shareholders. Outside Japan[edit] The keiretsu model is fairly unique to Japan. The closest foreign counterpart would be the Korean chaebol, but many diversified non-Japanese businesses groups have been described as keiretsu, such as the Virgin Group
Virgin Group
(UK), and Tata Group
Tata Group
(India), and the Colombian Grupo Empresarial Antioqueño. Some industry consortiums and alliances have also been described this way. The most common examples are the airline code-sharing alliances, such as Oneworld
Oneworld
and Star Alliance. While these arrangements do link a broad range of companies around a common organization, these groupings tend to have minimal financial entanglement, and are generally designed around gaining access to foreign markets within industries governments consider sensitive such as mining and aviation when foreign ownership is limited or even banned. Some industries, such as the automotive, have created broad cross ownership networks across nations, but normally the national companies are independently managed. Banks cited as being central to keiretsu-like systems include Deutsche Bank
Bank
and some keiretsu-like systems, generally referred to as trusts, were created by investment banks in the United States such as JP Morgan
JP Morgan
and Mellon Financial/ Mellon family
Mellon family
beginning in the late 19th century (roughly the same period they were created in Japan), but they were largely curtailed through anti-trust legislation championed by Theodore Roosevelt in the early part of the 20th century. A form of keiretsu can also be found in the cross-shareholdings of the large media companies throughout most developed nations.[9] These are largely designed to link content producers to particular distribution channels, and larger content projects, such as expensive movies, are often incorporated with ownership spread across a number of larger companies. Contrarian view[edit] Harvard Law School
Harvard Law School
professor J. Mark Ramseyer and University of Tokyo professor Yoshiro Miwa have argued that the postwar keiretsu are a "fable" created by Marxist thinkers in the 1960s so as to argue that monopoly capital dominated the Japanese economy. They point to the sparsity and tenuousness of cross-shareholding relationships within the keiretsu, the inconsistency in members' relationships with the "main banks" of each keiretsu, and the lack of power and reach of the zaibatsu alumni "lunch clubs" which are often argued to form a core of keiretsu governance.[10] United States- Japan
Japan
bilateral accords (agriculture and auto)[edit] By April 2015, U.S. Trade Representative Michael Froman and Japanese Economy Minister Akira Amari—representing the two largest economies of the 12-nation Trans-Pacific Partnership
Trans-Pacific Partnership
— were involved in bilateral talks regarding agriculture and auto parts, the "two largest obstacles for Japan."[11] These bilateral accords would open each other's "markets for products such as rice, pork and automobiles.[11] During the two-day ministerial TPP negotiating session held in Singapore in May, 2015, the U.S. Trade Representative (USTR) and veteran negotiator, Wendy Cutler, and Oe Hiroshi, of the Japanese Gaimusho, held bilateral trade talks regarding one of the most contentious trade issue— automobiles. American negotiators wanted the Japanese to open their entire keiretsu structure which is the corner stone of Japanese economy and society to American automobiles. They wanted Japanese dealer networks, such as Toyota, Nissan, Honda, Mitsubishi, and Mazda, to sell American cars.[12] The successful conclusion of these bilateral talks was necessary before the other ten TPP members could complete the trade deal.[11] See also[edit]

Corporate ecosystem Economy of Japan Horizontal integration Vertical integration Chaebol Zaibatsu

References[edit]

^ a b c Evolution of Keiretsu
Keiretsu
and their Different Forms ^ Morck & Nakamura, p. 33 ^ In his 1967 memoirs, George F. Kennan
George F. Kennan
wrote that aside from the Marshall Plan, setting the "reverse course" in Japan
Japan
was "the most significant contribution [he] was ever able to make in government." George F. Kennan, Memoirs, 1925-50 (Boston, 1967), 393. ^ Fukase, Atsuko (31 July 2015). " Mitsubishi
Mitsubishi
UFJ Joins Crusade on Cross-Shareholding". Wall Street Journal. Retrieved 7 August 2015.  ^ What is Keiretsu? ^ a b The Keiretsu
Keiretsu
of Japan ^ " Japan
Japan
Again Plans Huge Corporations". The New York Times. Associated Press. 17 July 1954. Retrieved 4 July 2011.  ^ The Toyota
Toyota
Group, the One and Only Horizontal-Vertical Keiretsu ^ See Columbia Journalism Review's "Who Owns What" website or They Rule. ^ Miwa & Ramseyer, 2001 ^ a b c "Japan, U.S. Seek Trade Pact Deals on Rice, Auto Parts", Bloomberg, 19 April 2015, retrieved 8 August 2015  ^ Stephen Harner (20 May 2015), Japan
Japan
Auto Imports, TPP, And The Price Of American 'Leadership', Forbes, retrieved 8 August 2015 

Further reading[edit]

Masahiko Aoki and Hugh Patrick, The Japanese Main Bank
Bank
System (1994) Ronald Gilson and Mark J. Roe, 'Understanding the Japanese Keiretsu' (1993) 102 Yale Law Journal 871 Yoshiro Miwa and Mark Ramseyer, 'The Fable of the Keiretsu' (2002) 11 J. Econ. & Mgmt. Strategy 169 Kenichi Miyashita & David Russell, "Keiretsu: inside the hidden Japanese conglomerates" (McGraw-Hill 1995) Bremner, Brian. (1999, March 15). Fall of a Keiretsu. Business
Business
Week, issue 3620, 86-92. Retrieved October 27, 2007, from Academic Search Premier database 'Whingeing: Japanese-American Trade'. The Economist 18 May 1991 http://www.law.harvard.edu/faculty/ramseyer/jemskeiretsu.pdf http://www.econ.kyoto-u.ac.jp/~ida/3Kenkyuu/4ouyoumicro/2006ouyoumicro/060727flath.pdf http://research.ecstu.com/km/efile/alliances/vertical_heiretsu.pdf

v t e

Japan's zaibatsu, keiretsu, and modern corporate groups

Big 4 zaibatsu (preceding World War II)

Sumitomo Mitsui Mitsubishi Yasuda (in chronological order of founding)

Second tier zaibatsu (preceding World War II)

Asano Fujita Furukawa Kawasaki Mori Nakajima Nichitsu Nissan Nomura Okura RIKEN Shibusawa Suzuki

Big 6 Keiretsu
Keiretsu
(until roughly 10 years after Japan
Japan
bubble ended in 1991)

Sumitomo Mitsui Mitsubishi Fuyo Dai-Ichi Kangyo Sanwa

Transitionary keiretsu

UFJ (originated from Sanwa Group, later renamed to "Midori Kai")

Current groups

Sumitomo Mitsui Mitsubishi Mizuho Midori Kai Furukawa Nissan Nomura Toyota

v t e

Business
Business
organizations

Types

Employers' organization Chamber of commerce Inter-professional association Trade association

List of food industry trade associations List of industry trade groups in the United States

Cooperative federation

Corporate groups

Chaebol
Chaebol
(South Korea) Conglomerate (Anglosphere) Keiretsu
Keiretsu
(Japan) Konzern (Germany) Xi (China) Zaibatsu
Zaibatsu
(Japan)

Oppositional groups

Trade union Consumer organization

See also

Bamboo network
Bamboo network
(Greater China and Southeast Asia) Business
Business
network Business
Business
networking Cartel Company
Company
registers Real Estate Hegemony

.