BookTitleToyota Tsusho 70-Year History

Summary

Toyota Tsusho 70-Year History

Part 2Shedding the Old to Become aValue-Generating Corporation1989?1999Following a period of high economic growth that started in the late 1950s, the Japanese economyentered a period of low and stable growth in the 1970s before booming again in the 1980s, creating anunusual economic phenomenon called a bubble economy. However, around 1990 the Japanese economysuddenly deteriorated, triggering a long-term slump called the lost decade.Toyota Tsusho Corporation also struggled with the resulting economic confusion. However, thecompany devised a management plan that looked ahead to the 21st century and promoted diversifiedbusiness development, cultivated new businesses, and expanded its business overseas. Strengtheningits network management, Toyota Tsusho looked to establish affiliated companies and expand itsbusiness in Japan, as well as overseas. The company moved into Asia, Oceania, Europe, the Americas,and Africa, and also promoted business development in emerging nations in these regions. Therewere many crises, such as a period of financial instability in 1995 and the Asian currency crisis of 1998,and it had also been whispered that the emergence of IT would kill off the need for general tradingcompanies altogether. Nevertheless, Toyota Tsusho was already taking steps on the path toward thenext leap forward, which the company would pursue for the next ten years.History83