A Japanese term describing a loose conglomeration of companies organized around...
Keiretsu refers to the horizontally and vertically linked industrial structure of post-war Japan. The horizontally linked groups include a broad range of industries linked via banks and general trading firms. There are eight major industrial groups, sometimes referred to as "Kigyo Shudan": Mitsubishi, Mitsui, Sumitomo, Fuyo, DKB, Sanwa, Tokai, and IBJ. The vertically linked groups (such as Toyota, Matshushita, and Sony) are centered around parent companies, with subsidiaries frequently serving as suppliers, distributors, and retail outlets. Common characteristics among the groups include crossholding of company shares, intra-group financing, joint investment, mutual appointment of officers, and other joint business activities. The keiretsu system emphasizes mutual cooperation and protects affiliates from mergers and acquisitions. Ties within groups became looser after the oil shocks of the 1970s as a result of decreasing dependence on banks for capital.
Loose associations of Japanese businesses characterized by reciprocal stock ownership and long-term supplier/customer relationships
Context is: trade term. In the late 20th century, descendants of JapanÂs pre-war zaibatsu, which were characterized by close, long-term business relationships between its members. Keiretsu typically include a bank, a trading company, manufacturing firms, and often an insurance company. Keiretsu firms are linked to one another through a network of formal and informal ties including cross-shareholdings, time-honored buyer-supplier arrangements, interlocking corporate directorates, interchange of personnel between member firms, and the sharing of information concerning product development and distribution. While keiretsu do have some positive aspects such as cost reduction and quality control, their exclusionary nature can act as an impediment to foreign market access. See also Codes of Conduct; Industrial Policy; Managed Trade; Market Access; Restrictive Business Practice.
n. (Jap.) A corporate, cartel, or conglomerate.
Japanese corporate groupings centred around a trading house, bank or manufacturing firm which are linked by intertwined management, cross shareholdings and long term supplier / user relationships.
A group, or network, of manufacturing and other companies in Japan, usually centered around a bank and including a trading company. Keiretsus are characterized by cross-ownership of shares, strategic coordination, and preference for transactions within the network.
The framework of relationships in postwar Japan's big banks and big firms... About Economics http://economics.about.com/library/glossary/bldef-keiretsu-system.htm
a cartel, and a cartel is a cartel is a cartel
a common feature of Japanese corporate governance and refers to a collaborative
a grouping of businesses held together by cross shareholdings and a common economic purpose
a group of Japanese companies that are united not only by their parent company but also by owning shares of each other
a looser alliance of companies than is a zaibatsu
an organizational structure unique to Japanese major corporations
a set of company with interlocking business relationships and shareholder
A Japanese word referring to the large groups of companies that are a characteristic feature of the Japanese economy, especially in the auto industry. Keiretsu companies do business first and foremost among themselves; tight supplier-buyer relationships within the keiretsu system are a barrier to the penetration of foreign goods in Japan because, everything else being equal, keiretsu members prefer to buy from other keiretsu members; the keiretsu system is a controversial issue in US-Japanese trade relations. Also see horizontal keiretsu and vertical keiretsu
a Japanese term describing a family of companies in which members of companies are board directors of their suppliers and customers.
A Japanese term describing a group of affiliated corporations with broad power and reach. In Japan, six giant keiretsu -- Mitsubishi, Mitsui, Dai Ichi, Kangyo, Sumitomo, Sanwa, and Fuyo --dominate much of the country's economic activity.
An alliance among suppliers, intermediaries, and other firms that operate vertically and horizontally and are centered around a financial entity.
A network of Japanese companies organized around a major bank.
A Japanese term describing a loose conglomeration of firms sharing one or more common denominators. The companies don't necessarily need to own equity in each other.
A form of cooperative relationship among companies in Japan where the companies largely remain legally and economically independent, even though they work closely in various ways such as sole sourcing and financial backing. A member of a keiretsu generally owns a limited amount of stock in other member companies. A keiretsu generally forms around a bank and a trading company but “distribution” (supply chain) keiretsus exist linking companies from raw material suppliers to retailers.
A ("ei" pronounced as in "weigh") is a set of companies with interlocking business relationships and shareholdings. It is a type of business group.
