Japan’s Success in China

Nigel Campbell

Chapter 8 in The Global Competitiveness of the Asian Firm, 1994, pp 129-137 from Palgrave Macmillan

Abstract: Abstract Japanese firms have achieved a dominant position in the Chinese market. Japan is China’s largest trading partner after Hong Kong and its trade is above that of America or Western Europe (see Figure 8.1). This might seem natural, since after all the two countries are geographically close, share a common ancestry and are complementary in resources. In exchange for machinery, steel and chemicals China can supply Japan with raw materials, textiles and the products of light industry. Although there is a strong economic logic to a close relationship, recent history has made the Chinese very wary of the Japanese. In 1937, Japan invaded Manchuria and at one time there were over 500 000 Japanese colonists living in Northern China. In addition, thousands of Chinese died at the hands of the Japanese during the Second World War. As a result, the Japanese are not particularly liked in China.

Keywords: Japanese Company; Japanese Firm; Equity Investment; Trading Company; Japanese Colonist (search for similar items in EconPapers)
Date: 1994
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Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-349-23423-3_8

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DOI: 10.1007/978-1-349-23423-3_8

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