Furthermore, they look forward to the transfer from Japan of production and product development techniques as well as managerial expertise that will help them move to a more sophisticated industrial structure. It is clear that all these reasons lead naturally to the formation of interdependent relationships between Japan and the rest of East Asia.
In fact, I see it as an encouraging trend that momentum is growing among Japanese companies to seize a variety of new and challenging business opportunities in East Asia, in China in particular. Having said this, there is concern in Japan that the expansion of Japanese companies to East Asia engenders a hollowing-out of Japanese industry, which adversely affects domestic production and employment.