Future of Sony? 1.1 Billion dollar loss.

[joeorc]

Goatseye said:

^^ I wish I could understand Japanese businessman mindset.
All these companies going down:

 

Its very simple really, the majority of people employed is japanese, and many non japanese investors  do not view the market of japan like the japanese view the market in japan.

Many it seems they think they can play the market in japan like they play the financial market game in the west, and as history proves in the past 40 years, you cannot play it the same way. the japanese market is not like the west. the way they view job's and how the shift in resources like selling of parts of your company but at the same time invest into new parts that are @ risk, with a large # of debt on hand. some company's in the west do that also, but also to provide a natural defense against a hostile take over so that part is commonality. but its dealing with the social parts you may not be able to account for. 

see for yourself

http://www.rieti.go.jp/en/papers/contribution/tsuru/02.html

please note this:

" In Japan, by contrast, general shareholders who have no direct business relationship with the company have little influence over management. Thus, even if a takeover defense measure is made subject to approval at general shareholders' meeting or in a proxy fight, there is a high probability that the resulting decision will turn out to be pro management and detrimental to general shareholder interests."

again:

Considering this, the task imposed on the Japanese courts - judging the legality of takeover measures without legislative guidance - will be extremely burdensome (Gilson 2004).