Japan, “Learn Restructuring from Korea”

`Let’s learn restructuring from Korea`.

Japanese get more and more interest on Korea. It is because Korea committed sensational restructuring in order to overcome the foreign exchange crisis quite different from Japan, which has been suffering from lingering economic depression.

What they envy is the clearing insolvent companies through the powerful leadership and the boom of Information Technology (IT) as a new growth engine.

Asahi Shimbun and economic weekly Toyo Keizai criticized Japan, which appeals for restructuring but settles nothing, along with introduction of Korea’s clearing insolvent companies and insolvent bonds. And Seinosuke Okazaki President of Marubeni-Itochu Steel Co. pointed that `Japan should learn from Korean restructuring` in his book titled `Now in Korea, ` which contains his experiences during his stay in Korea from 1996 till 1998. Yoshikawa Ryozo executive director of Samsung Electronics introduced the vigor of Korea contrasting with Japan in his book `Cheerful Korea`.

Japanese even feel anxious about Korea’s boom of IT along with Internet. Japan, which had more advanced technology than Korea had, started earlier than Korea in IT industry, but is far behind in practical use of it. An official of Japanese Federation of Economic Organization said, “Japanese financial circles began to reflect after watching the development of IT industry in Korea.” Japanese government also is introducing supporting measures to be the country of powerful IT in 5 years, but Japanese IT industry is hardly reviving.

Komaki Deruo professor of Kokusikan Univ. said, “so far, Japan was unable to cope with new change with the conceit that `Japan is powerful in manufacturing industry`. Companies are seeking their way to IT field, but economic system and social conditions cannot support them.”