2004 Fiscal Year Final Research Report Summary
Global Production of Japanese Multinationals and its Consequences for Industries and Employment in Japan : case of electrical appliance industry
| Project/Area Number |
14530062
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| Research Category |
Grant-in-Aid for Scientific Research (C)
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| Allocation Type | Single-year Grants |
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| Section | 一般 |
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| Research Field |
経済政策(含経済事情)
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| Research Institution | OITA UNIVERSITY |
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Principal Investigator |
ABE Makoto OITA UNIVERSITY, Faculty of Economics, Professor (80159441)
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| Project Period (FY) |
2002 – 2004
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| Keywords | globalization / overseas production / electrical appliance industry / Thailand / hollowing out of industry / regional economy / employment |
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| Research Abstract |
Japanese manufactures have shifted their production from Japan to East Asia since 1990s. As a result, ratio of the overseas production of Japanese manufacturers has risen, particularly in car industry and electrical machinery industry. Under such circumstances, "Hollowing out of Japanese industry" has been one of the important issues in Japan.
To make clear the consequences of the overseas production of Japanese manufacturers for Japanese economy and employment, I explored the goal and management of Japanese manufacturers based in Southeast Asia as well as the actual situation of production through some interviews to managers of Japanese manufacturers located in Thailand. I found that there are three types of goal of local production : production for mainly in the local market, production for Japanese market, and production for export to many countries. I understand that the production for the local market has been the mainstream and that the production for the domestic market has been kept in Japan because of some advantages in the domestic production.
Also it was found that the role of local plants of Japanese company in Thailand has been only mass production, while functions of research, development and design have been mainly located in Japan. It was pointed out that they have purchased many parts from Japanese suppliers located in the area.
On the other hand, I examined the consequences of the expanding overseas production for the regional economy in Japan. The consequences for the regional economy have been various and some small and medium manufacturers have taken some measures corresponding to the changing situations in some regions, like Sakaki and Kitakami, where the network among small and medium manufacturers has been built.
In conclusion, though Japanese manufactures have moved their production to East Asia, its influence over Japanese economy, particularly manufacturing sector, have been limited.
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