Problems Faced By Japanese Foreign Investments Relations...

This business study will define the problems in the United States due to Japanese investments. In the current global economy, the foreign investments relations between the U.S. and Japan have been one sided due to the inter-Asian business models of the Japanese markets. Japan has traditionally been cooperative with the United States in allowing its products to be manufactured and sold in the United States, which has provided some manufacturing jobs in the U.S. This causes problems for the U.S. because they are disadvantaged by one-sided trade agreements that decrease job opportunities for American workers, since the Japanese are increasingly moving their manufacturing plants into Asia. More so, the Japanese government has manipulated its†¦show more content†¦This complex issue defines a major problem for job opportunities for the American economy due to Japan’s shift in foreign investment in the Unite States: The Japanese will place more of their emphasis on investment in Asia, leaving less capital to finance United States budget deficits or to buy up American companies or open new factories. Japanese electronic goods and automobiles will not disappear from American shelves or showrooms, but increasingly they will come from factories in Asia, rather than in Japan or the United States (Sterngold, 2016, para.8). In this manner, Japanese foreign investments will begin to shift away from the American manufacturing sector to Asian labor markets. This is an important problem with Japanese foreign investments that continue to seek out lower cost labor markets in order to avoid the higher costs in America: â€Å"That will mean less job creation in Ohio or Tennessee, as the Japanese start up fewer new ventures in the United States† (para.8). This is an important factor in the evolving foreign investment strategies of Japan, which now threaten American job markets in the 2010s. Historically japan had found the American consumer market to be an invaluable part of consumer orientated foreign investments, which relied heavily on