Japan’s main measures to tackle the issues relating to “zombie enterprises” and enlightenment

YIN Jialin1 ZOU Guoqing1

(1.Business School, Jilin University, Changchun, Jilin, China 130012)

【Abstract】Against the backdrop of changed international economic environment and adjusted development models, Japan experienced three crises relating to large-scale zombie enterprise.To tackle these crises, Japan gave full play to role of market in selecting enterprises that needed to go bankrupt or to be reorganized.During this process, Japan paid special attention to the re-training and job placement of laid-off workers. It also established some ad hoc institutions to implement laws and regulations for these crises. Based on its own characteristics, China can learn from Japan to address the issues relating to “zombie enterprise.”

【Keywords】 zombie enterprises; overcapacity; reorganization; financial dilemma; revitalization agencies;

【DOI】

【Funds】 National Social Science Foundation Project (15BGL008) National Soft Science Research Program Project (2010GXS5D195)

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    Footnote

    [1]. ① Such as mergers and acquisitions of enterprises, sustained loans from banks and subsidies from local governments. [^Back]

    [2]. ② Such as other healthy enterprises, commercial banks and local governments. [^Back]

    [3]. ① Japan’s national average land price refers to the average land price of all cities in Japan. [^Back]

    [4]. ② Six metropolises are Tokyo Area, Yokohama, Nagoya, Kyoto, Osaka and Kobe. [^Back]

    [5]. ③ In Figures 2–5, the land price index of March 2000 is set to 100. [^Back]

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This Article

ISSN:1000-355X

CN: 22-1065/F

Vol 36, No. 04, Pages 58-68

July 2017

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Article Outline

Abstract

  • 1 Definition of “zombie enterprises”
  • 2 Three major issues with “zombie enterprises” in Japan
  • 3 Japan’s main measures to tackle the issues relating to “zombie enterprises”
  • 4 Enlightenment
  • Footnote

    References