SOCI 235 Lecture Notes - Lecture 27: William Ouchi, Ministry Of International Trade And Industry, Mainframe Computer

• School: McGill University
• Department: Sociology (Arts)
• Course: SOCI 235
• Professor: Michael Smith

Document Summary

In 1957 an act of the legislature created the japanese electronic industry association (jeida) to serve as a vehicle for the development of collaborative policies within the industry. Jeida was a vehicle for channelling low interest loans and subsidies to the firms in the industry. Ibm and sperry/univac sought to establish manufacturing subsidiaries in japan but were refused the right to do so: the struggle with us companies continued into the 1960s. Ibm tried to create a japanese subsidiary in the early 1960s. Law (1953 - it was no longer in force by the 1980s) required government approval for foreigners to bring capital into the country. This law was used to deny ibm the right to open a subsidiary - it was denied access to yen. Ibm attempted to circumvent the law by acquiring yen from other companies. The government responded by refusing to ibm the right to import either the machinery to make computers or computers to sell.