School of World Economy and International Affairs
Foreign Languages Department
THE ROLE OF THE MICROELECTRONICS INDUSTRY
IN THE MODERN ECONOMY OF JAPAN
Roman A. Botov
Prof. Sergei A. Verigo, PhD
Prof. Elena V. Anashkina, PhD
Microelectronics industry is one of the main drivers of an economy of a developed country. Japan has a solid base in microelectronics industry as it produces important components. However Japan’s industry was affected by natural disasters, competition from the USA in terms of innovations and competition from Asian rivals in terms of price policy. But Japan recovers rapidly and already became more competitive in microelectronics sector and has plans for future which are to guarantee Japan one of the most important roles in global microelectronics market.
High-tech, microelectronics industry, Japanese companies, innovation, global microelectronics market, produce.
1.The economic role of the microelectronics industry6
2.The actual state of the microelectronics industry7
3.Prospects and challenges9
We live in the 21st century. The science is now one of the most important factors of the prosperity of the economy of any developed country. High-tech products are becoming smarter and cheaper and thus gain popularity around the globe among people of different nationalities, social classes, gender and age. The share of high-tech products in the global market has increased rapidly in the last years. Japan has always been and is still one of the leading producers of high-tech products and nowadays the role of this industry of Japan has increased. Therefore the subject of the paper is the microelectronics industry of Japan, while the topic is the current state of the Japanese microelectronics industry, its prospects and challenges. The thesis of the study is that the present circumstances of the world economy make Japan more concentrated on high-tech industry, trying to take more solid positions in the world market in terms of innovation and increasing share in the global market. The significance is justified with the fact that currently developed countries pay more and more attention to innovations, as they realize that the products of this industry are the main drivers for innovative goods and services needed for addressing major societal challenges. The novelty of this paper lies in the fact that the topic chosen is narrow and usually is not addressed separately from the whole electronics industry, but together with other industries in terms of economic studies. The practical applicability of the expected findings might be useful for tactical or speculative investors who search for countries and industries to invest in. The purpose of this work is to analyze the current state of the Japanese microelectronics industry as well as to show the potential of this industry of Japan in current circumstances. In this regard, particular tasks of the paper include the following: 1) to describe the current state of Japanese economy and microelectronics industry in particular; 2) to observe domestic and overseas expansion strategy of Japanese companies; 3) to explore microelectronic products and services recently launched in the industry; 4) to examine Japanese companies’ main prospective directions for development. The methodology to be used is mainly internet research, analyzing historical and topical information and news regarding the topic. Finally, the findings of the study are going to cover the Japanese microelectronics industry current portrayal and future outlooks. This may help identify specific features and outline prospective directions for development.
1. The economic role of the microelectronics industry
While the rest of the industries are not so...