In order to pull Japan out from the hole of economic recession fundamentally, regain energies, moreover, and urge the reformation of enterprise’s activities, the importance of venture business has been raised due to the fact that the domestic demand and job creation can be roused by venture business.
On the other hand, venture business had been supporting the revival of the United States’ economy in the 1990s. It had contributed to the prosperity of the United States greatly. Thus, Japan has also begun to work on the promotion of venture business seriously. Because Japan Government starts supporting venture business, the symptom of the development of venture business can be expected.
Venture business exploiting new knowledge turns out a lot. That is to say that the age of venture business is coming soon. However, in fact, venture business doesn’t turn out frequently. The most fundamental problems with obstructing the development of venture business in Japan are due to next 3 reasons. Firstly, Japanese are afraid of failure, and poor in both independency and challenging spirit. Secondly, entrepreneurship has been neglected for a long time. Lastly, Japanese have not gotten rid of the big kasha mythology yet. Due to these reasons, venture business does not turn out frequently in Japan.
Fortunately, after the long-term depression, called the “Lost Decade,” unemployment rate was increased due to the restructuring of enterprises, the big kasha mythology was crashed and the life-time employment system was collapsing. Consequently, people have to face the fact.
In 2005, Japan’s economy had been shocked by many M&A cases. Especially, the purchase activities of Livedoor and Rakuten, Inc. brought the biggest shock to Japan’s economy. Besides, Japanese young people are chasing the successful cases created by the Roppongi Hills winning group such as Rakuten, Inc. of Hiroshi Mikitani and Livedoor of Takafumi Horie, the willingness of establishing a new company is emerging. It will be a driving force for improving the development of venture business in Japan.
Due to the above reasons, this thesis uses the case studies of Livedoor and Rakuten, Inc. to study how does the development of venture business revive Japan’s economy.