Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Hot on Facebook

Uproar After NC State Agent 'Fixes' Girl's Lunch Preschooler has to eat chicken nuggets instead of mom's meal »

Japan Rebuilds Economic Walls

With firms ripe for takeover, gov't moves to make foreign investment tougher

By Kevin Spak, Newser Staff

Posted Apr 30, 2008 1:30 PM CDT

(Newser) – Once, Japan was one of the world’s most closed economies, with near-impregnable barriers guarding against foreign investors. It's moving back in that direction, the Wall Street Journal reports. Companies are buying stakes in each other to complicate international takeover bids, and resurrecting the “poison pill” strategy America pioneered in the 1980s. The government, meanwhile, is barring foreign investment in key industries.

The fortress mentality had eased off in the 1990s, allowing foreigners to buy into iconic companies like Nissan—but it’s returning, because many companies are juicy takeover targets. Stocks are trading at about 15 times earnings, down from 50 five years ago. “You can't overstate the paranoia about takeovers here,” said one researcher. “It's an implication that they've done a poor job creating value.”

A pedestrian uses his mobile phone beside an electronic stock market board in Tokyo, Friday, March 7, 2008. (AP Photo/Katsumi Kasahara)

An overhead view of Tokyo. (Shutterstock)

« Prev« Prev | Next »Next » Slideshow

To report an error on this story, notify our editors.

More Newser Stories

Japan's Economy Shrinks More Than Expected

Rising yen, falling international demand, led to 2.3% contraction

(NEWSER) - Economists were expecting the Japanese economy to contract in the last quarter of 2011, but not this badly, reports the BBC . Japan's gross domestic product shrunk 2.3% in the last three months of the year, much worse than the 1.4% economists were predicting, due to the yen rising 7% against the US dollar since April, the effects of last March's earthquake and tsunami, and the general worldwide economic slowdown. More»

Japan's Emperor to Have Heart Bypass

Akihito has suffered from variety of health problems in recent years

(AP) - Japanese Emperor Akihito will have heart bypass surgery later this month, his palace said today after the 78-year-old monarch was hospitalized for tests over the weekend. Akihito returned to the palace today after the tests and has scheduled the surgery for Feb. 18, the Imperial Household Agency said. More»

US Military Looking for Foothold in Philippines

But doesn't intend to reopen bases

(NEWSER) - The US military is seeking more access to the Philippines, sources tell Reuters , though not, they hasten to add, new full-blown bases there. The Philippines voted to remove gigantic US naval and air bases 20 years ago, but the country remains a US ally, and the US is hoping for more access to its ports and airfields to refuel warships and planes. "It's access, not bases," one official clarified. And the desire seems to be mutual. More»

Japan Kept Worst-Case Nuclear Fears Under Wraps

Fukushima report warned that all of Tokyo might need to be evacuated

(NEWSER) - Japanese officials were told that last year's nuclear disaster could have required the evacuation of tens of millions—but they didn't mention it, worried that the information might cause a panic. A 15-page report, given to the prime minister two weeks after the earthquake, was obtained by the AP and Japanese media. It says that meltdowns could cause vast amounts of radiation and necessitate the evacuation of homes within at least a 105-mile radius of the Fukushima Dai-ichi plant. More»

Japan Reports 1st Trade Deficit in 30 Years

And that could mean trouble for its national debt

(NEWSER) - Japan reported its first trade deficit since 1980 today, a $32 billion shortfall caused in part by the tsunami that struck the country, and in part by the strengthening yen. And while the tsunami may have been a freak occurrence, experts tell the AP that the deficit isn't. "It reflects fundamental changes in Japan's economy," one economist at Japan Research Institute says. "Japan is losing its competitiveness," with its manufacturing giants largely moving production abroad. More»

NEWS FROM OUR PARTNERS

What is Newser?

Face it: there's too much news. At Newser, we choose the most thought-provoking and entertaining stories from hundreds of US and international sources and reduce them to a headline, picture, and two paragraphs. And we do it 24/7—you can come back morning, noon, night (and in between) for something new that matters. Read less, know more.

Learn more »

Partnering with: Slate

View Newser on the mobile website

Japan Rebuilds Economic Walls

With firms ripe for takeover, gov't moves to make foreign investment tougher

OTHER STORIES ON OUR RADAR

Japan • foreign investment • Nikkei 225 Stock Average • Japanese economy

MOST POPULAR STORIES

[ By Views ]

[ By Comments ]

More Newser Stories

Japan's Economy Shrinks More Than Expected

Rising yen, falling international demand, led to 2.3% contraction

Japan's Emperor to Have Heart Bypass

Akihito has suffered from variety of health problems in recent years

US Military Looking for Foothold in Philippines

But doesn't intend to reopen bases

Japan Kept Worst-Case Nuclear Fears Under Wraps

Fukushima report warned that all of Tokyo might need to be evacuated

Japan Reports 1st Trade Deficit in 30 Years

And that could mean trouble for its national debt

About Us

Site

Newser By Users

Community

Site Maps

Tools

More News

What is Newser?

Japan Rebuilds Economic Walls

With firms ripe for takeover, gov't moves to make foreign investment tougher

Bookmark & Share

OTHER STORIES ON OUR RADAR

Japan • foreign investment • Nikkei 225 Stock Average • Japanese economy

MOST POPULAR STORIES

[ By Views ]

[ By Comments ]

More Newser Stories

Japan's Economy Shrinks More Than Expected

Rising yen, falling international demand, led to 2.3% contraction

Japan's Emperor to Have Heart Bypass

Akihito has suffered from variety of health problems in recent years

US Military Looking for Foothold in Philippines

But doesn't intend to reopen bases

Japan Kept Worst-Case Nuclear Fears Under Wraps

Fukushima report warned that all of Tokyo might need to be evacuated

Japan Reports 1st Trade Deficit in 30 Years

And that could mean trouble for its national debt

About Us

Site

Newser By Users

Community

Site Maps

Tools

More News

What is Newser?