Environmental Factors Influencing Mergers and Acquisitions in Japan

Abstract

The purpose of this paper is first to dispel the myth that mergers and acquisitions do not occur in Japan and secondly to highlight the major environmental factors that influence such corporate reorganisations. The main influences discussed include corporate culture and Japanese enterprises, the government as a regulator, the regulatory agencies, and institutional influences. These issues are of importance because not only have they featured in trade negotiations between Japan and the West but also in highlighting to financial managers those factors that are crucial to the outcome of corporate reorganisations in Japan.