Japan's Globalization

Globalization has been an on-going process in the modern world. In Japan's economy has rebounded and is growing again. Japan ranks as the world's 3rd largest economy and is a leader in the fields of IT-related industries, automobiles, and also animation like cosplay and other stuff in comics. It also has showed the world in high tech exports, microelectronic products or gadgets. Japanese companies have invested all over the world. Toyota for example, has invested in an automobile plant in France with all of its labour laws.

Some argue that Japan's market has unique vulnerabilities, and as analysts see it, the plunge reflects to a large extent foreign investors desertion of a Japan that now appears to have poor prospects fot growth and prosperity in the future. But on the other hand Japan's modernization process now can be viewed as a globalization process as well. Japan's adoption of European imperialism resulted in total devastation of both the country and many traditional values. 

Japan has characteristics of the economic development especially in the period after the 1990s. The first characteristic is the changes in exchange rates and their economic impact. After Japan making the transition to a floating exchange rate system. Japan was faced with a precipitous appreciation of the yen although its simple, in the early 1990s.  Because of the exchange rate changes had a substantial impact on the Japanese economy. Secondly, with the advancement of Japan's industrial and trade structure, the focus on the US as a trading partner and direct investment destination gradually shifted to the East Asian region. Thirdly, regarding Japan's financial and capital transactions, equity investments from abroad have recently increased, but it can't be said that Japan's international financial and capital transactions have accelerated, except in the bubble economy period. Fourthly, Japanese's economy's international ties are not as deep as those of European and North American countries. This means that even though globalization in Japan is presumably advancing, it may not be the case when compared to the Europeqan and North American countries. 

Globalization is not a choice but a necessity for survival. In order to move forward with globalization Japanese companies must open up their closed labor market, an undertaking equivalent to a "cultural revolution" to overturn Japan Inc.'s human resource management style. 

Mega Indah Putri U.

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