Vison of SHOSHA - Changes in the business environment surrounding the SHOSHA

Changes in the business environment surrounding the SHOSHA

The Japanese economy is being exposed to the mega-trend of dramatic change sweeping Japan and the world, and the SHOSHA are no exception.

Change in domestic business circumstances

Maturity of the Japanese economy
Market saturation and diversification of consumer wants and needs, falling birthrate and population decline, demand stagnation, investment decline and sinking economic growth etc.
Changes in the trade structure
Decrease in exports, increase in imports, reduction of the trade surplus, depreciation of the yen
Reform of the financial system
Collapse of the bubble economy, disposal of bad loans, capping deposit protection guarantees, reorganization of financial industries
Structural reform for the Japanese economic recovery
Deregulation, market-opening, encouragement of free and fair competition, industrial reorganization
Amendment of the commercial code
Suits by shareholder representatives, revision of merger and partition provisions, reform of the board of directors and auditors system
Introduction of international accounting standards
Current-value accounting system, impairment accounting system, consolidated accounting and taxation system
Movement to a recycling-based society
Rising awareness of the "three Rs" (reduce, reuse, recycle)

Change in international business circumstances

Liberalization of trade and investment, inauguration of the World Trade Organization (WTO), spread of regional and bilateral free trade agreements (FTA), penetration of global standards, economic advancement in developing countries, China's rise and admission to the WTO, the age of mega-competition
IT revolution
Diffusion of the internet, spread of high-speed broadband communication networks, restructuring of social and business systems
Wave of technological innovation
Advances in biotechnology, genomes, nano-technology, etc.
Global environmental issues
Movements for the preservation of the global environment drawn by The Earth Summit and The Kyoto Protocol, reduction of emissions of greenhouse gases, spreading efforts to gain ISO14001 certification, etc.
Other changes
Intensification of terrorism, anti-globalization movement, crude oil price rises, birth of the Euro, etc.