A little history the term2 zaibatsu The term zaibatsu was used in the 19th century to refer to large family century family controlled banking and industrial combines in Japan. Currently, it is not used natively by Japanese speakers for anything other than historical discussions in reference to Edo and Meiji era zaibatsu.
HISTORY AND3 DEVELOPMENT The domination of various large corporations by single capitalist families through stockholding M itsui companies is known as Zaibatsu. Before WWII, M itsubishi the big four were: S itom um o Yasuda
Four Large Zaibatsu4 Mitsui Initially founded in the Edo period in 1673, when Takatoshi Mitsui opened a fabric and Mitsui drapery store in Nihonbashi, Tokyo. The store called Echigoya grew, prospered, and developed in to what is now probably Japan’s most prestigious store, the Mitsukoshi Department store. M itsui Exchange Shop Another success runs from by the Mitsui family. Received the gold and silver business warranties from the Edo Shogunate and became Mitsui Bank. In 1990, the bank merged with Taiyo Kobe Bank and then, in 2002, combined with Sumitomo Bank, creating one of the three largest financial groups in Japan, the Mitsui Sumitomo Financial Group.
Four Large Zaibatsu5 S itom um o Long history commencing in 1691 when Osaka copper trader Izumiya opened a copper mine in Bessi in Iyo, now Ehime Prefecture in Shikoku Island. Expanded its business into copper refining, processing, and vending and finally transformed itself into a Zaibatsu before the start of the World War II. Yasuda The Yasuda effort on banking was narrowed by the merger of eleven Yasuda controlled banks into the Yasuda Bank in 1913. The post- merger bank was by far the largest of all the zaibatsu banks. Yasuda consolidated his empire in banking and finance, specializing in backing small and medium-sized traders and industrialists. In 1880, Yasuda founded the Yasuda Mutual Life Insurance Company. In 1893, the Yasuda zaibatsu absorbed the Tokyo Fire Insurance Company, later renamed the Yasuda Fire and Marine Insurance Company.
Economic Domination6 The Zaibatsu grew to govern the Japanese economy and as they were incriminated in Japan in criminated Japan’s war effort, the GHQ (General Head Quarters) of the Allied Powers in Japan dissolved them during the occupation of Japan in 1945, declaring that the Zaibatsu were a hotbed of militarism.
Formation of Industrial Groups7 Industrial groups with no connection to former Zaibatsu were also formed around banks. These groups included those that surrounded the former Daiichi Kangyo Bank, Sanwa Bank, and Fuji Bank. Companies within these groups also tended to cooperate on the business front and have been an important factor in Japan’s gasping economic development since the war.
Industrial Groups expands their8 Keiretsu (Series or Subsidiary) By acquiring shares in, or dispatching directors, to companies. Cross shareholdings and the Keiretsu structure of companies trading within their group have been cited by the United States as one of the signs of the closed state of Japan’s markets to foreign businesses.
Recognition of financial markets9 Daiichi Kangyo Bank, Fuji Bank, and the Industrial Bank of Japan merged and became the Mizuho financial group. Sakura Bank, which was formerly Mitsui Bank, and Sumitomo Bank, also come together, and subsequently the Mitsubishi Tokyo Financial Group merged with UFJ Holdings, which was formerly Sanwa Bank and Tokai Bank, thereby creating a new realignment Japan’s industrial groups and
List of Zaibatsu10 Mitsui Group Toyota Toshiba Fuji Film HD Sapporo Beer Suntory Mitsukoshi Mitsui and Co., Ltd. Mitsui Fudosan Company, Limited
List of Zaibatsu11 Mitsubishi Group Nippon Yusen Kabushiki Kaisha Kirin Brewery Company, Limited Mitsubishi Company The Bank of Tokyo-Mitsubishi UFJ, Ltd Nikon Corporation Mitsubishi Motors Corporation Mitsubishi Chemical Corporation
List of Zaibatsu12 Sumitomo Group Sumitomo Corporation Sumitomo Chemical Company, Limited Asahi Breweries, Ltd ITOCHU Corporation Sumitomo Mitsui Banking Corporation Sumitomo Life Insurance Company The Japan Research Institute, Limited Sumitomo Realty & Development Co., Ltd
Popular Culture13 The term zaibatsu has been used often in books, comics, video games and films, referring to large, (usually) threatening Japanese corporations, who are often involved in dubious dealings and/or have connections to the yakuza. Examples include the "Mishima Zaibatsu" which is mentioned throughout the Tekken series, the "Zaibatsu" criminal group in Grand Theft Auto 2, and various writings of pioneer cyberpunk author William Gibson. In other cases zaibatsu are used simply to provide the background for a character from an influential family, such as in the case of the F4 in Boys before Flowers who are the sons and heirs of the four (fictional)
Modern Day Influence14 Today, the influence of the zaibatsu can still be seen in the financial groups, institutions, and larger companies whose origins reach back to the original zaibatsu, often sharing the same original family names (for example, Sumitomo Mitsui Banking Corporation). Kazuo Kawai, Japans American Interlude (University of Chicago Press). However, some argue that the old mechanisms of financial and administrative control that zaibatsu once enjoyed have been destroyed. Though large industrial conglomerates continue to exist in Japan, the vertically-integrated chain of command of the zaibatsu, culminating in control by a single family, has now widely been displaced by the horizontal relationships of association and coordination characteristic of keiretsu meaning series or subsidiary.
15 Thank you!!! Have a great PALAKASAN 2012 and good luck with 2nd exam!