PROBLEMS WITH VENTURE BUSINESS AND RISK TOLERANCE OF NEW VENTURES

다국어 초록 (Multilingual Abstract)

Though the Japanese economy has slightly improved from the serious recession of recent, it is still not of the woods.
Amidst the whole shenanigans of what to do about it, attention has turned to new business startups and business ventures. With existing companies caught up trying to restructure negative legacies of past, it is absolutely essential that new companies brimming with vitality be created in order for the economy to return to continuous stable growth.
However, contrary to the claims of recover, the number of new businesses staking a positive challenge to new business has been declining year on year. What should be noted in all of this is that the individual Japanese is not losing his entrepreneurial desire. There are many people who harbor an entrepreneuring spirit. What is wrong here is that the strong desire to start up in business has not translated directly into an increase in the number of new business.
This paper explains reasons why the startup rate has trended downwards and problems with business ventures in Japan, based on "The Survey of Creative Activities of Small and Medium Enterprise conducted by the Small and Medium Enterprise Agency".
A declining startup rate and falling survival rate characterize business ventures in Japan. This paper also examines why the survival rate of ventures is low and identifies as the main reason for this their "inability to manage uncertainty", that is to say, their low risk tolerance. It also looks at which factors determine how high or low risk tolerance is and suggests some possible ways to strengthen risk tolerance.

목차 (Table of Contents)

• PROBLEMS IN JAPANESE VENTURE BUSINESS
• STRUCTURAL DECLINE IN BUSINESS SURVIVAL RATE
• RISK TOLERANCE OF A NEW VENTURE
• Top Management Formation
• Risk History
• Extension of Core Competence Outside the Company
• Uncertainty and Alliances