Subcontractor networks are not very important in Japanese manufacturing.

Question

Quizplus · Accepted Answer

Subcontracting networks, called "keiretsu," are central to the Japanese manufacturing system. These networks involve close, long-term relationships between manufacturers and their subcontractors, often with shared ownership and management structures. Keiretsu help to ensure high quality and timely delivery of components and raw materials, as well as providing a stable source of business for subcontractors.

Subcontractor Networks Are Not Very Important in Japanese Manufacturing