Competing in the global arena is one of the main challenges that all Japanese corporations face. So what are the motivations and strategies that are driving global business transformations among Japanese corporations?
Baker & McKenzie recently partnered with MergerMarket to learn more about these drivers, and how they compare to expansion strategies being conducted by US and European Corporations. The report, “The Global Challenge: Applying Business Transformations in Corporate Japan,” highlights the main challenges Japanese corporations need to overcome to make their deals a success.
“Becoming a global corporation requires more than completing a handful of cross-border transactions,” said Hiroshi Kondo, a Baker & McKenzie partner in the Corporate M&A practice, based in Tokyo.
“Doing so means re-evaluating internal operations, optimizing business structures, and maintaining best practices that have worked in the past, discarding those that have not, and integrating innovative and international ideas into the existing corporate conscious.”
Among the study’s findings:
- Japan’s corporate leaders are quickly discovering that keeping pace with intensifying competition and game-changing technology in the current market demands a reconsideration of the traditional approach to business and management strategy.
- In their decisions to go global, the motivations among corporations from Japan, the United States, and Europe were largely aligned in terms of the strategic and financial rationale.
- Corporate leaders across the world recognized cultural differences as the top challenges in executing their recent cross-border deal.