Part of the Business terms glossary:

Keiretsu is a business network composed of manufacturers, supply chain partners, distributors and financiers who remain financially independent but work closely together to ensure each other’s success.  In Japanese, the word keiretsu means “group.”  In business, the word is often used as a synonym for partnership, alliance or extended enterprise.  

The formation of a keiretsu allows a manufacturer to establish stable, long-term partnerships, which in turn helps them to stay lean and focus on core business requirements.  That same stability, however, can sometimes be a liability and prevent the manufacturer from responding quickly to changes in the economy, culture or technology. Keiretsu are organized around their own trading companies and banks. This allows each major keiretsu to be capable of controlling nearly every step of the economic chain in a variety of industrial, resource and service sectors.

 

This was last updated in March 2012
Posted by: Margaret Rouse

Related Terms

Definitions

  • Predictive Index (PI)

    - The Predictive Index (PI) is a theory-based, self-report measurement of normal, adult, work-related personality that has been developed and validated for use within occupational and organizational ... (WhatIs.com)

  • How to write a business case document

    - A business case document is a formal, written argument intended to convince a decision maker to approve some kind of action. This guide explains what to include in a business case document, how to ... (WhatIs.com)

  • Hawthorne effect

    - The Hawthorne effect is a psychological phenomenon that produces an improvement in human behavior or performance as a result of increased attention from superiors, clients or colleagues. This defin... (WhatIs.com)

Glossaries

  • Business terms

    - Terms related to business, including definitions about project management and words and phrases about human resources, finance and vertical industries.

  • Internet applications

    - This WhatIs.com glossary contains terms related to Internet applications, including definitions about Software as a Service (SaaS) delivery models and words and phrases about web sites, e-commerce ...

Ask a Question About keiretsuPowered by ITKnowledgeExchange.com

Get answers from your peers on your most technical challenges

Tech TalkComment

Share
Comments

    Results

    Contribute to the conversation

    All fields are required. Comments will appear at the bottom of the article.