The Interplay of Industrial Policy and International Strategy: Japan's Machine Tool Industry

McCraw Thomas K. , “From Partners to Competitors,” in McCraw Thomas K. , ed., America Vs. Japan (Boston, MA: Harvard Business School Press, 1986), p. 19.

See Wall Street Journal, “Account of a Japanese Cartel's Creation Provided by U.S. Machine Tool Firm,” May 3, 1982; Business Week, “Trade and the Slump Plague Machine Tools,” September 27, 1982; Wall Street Journal, “White House Considers Plea to Penalize U.S. Firms that Buy Tools from Japan,” January 13, 1983; Business Week, “A New U.S. Weapon for Defending Free Trade,” January 17, 1983; and, The Economist, “Machine Tools in the Trenches of Japan's Next Trade War,” July 16, 1983.

Boston Consulting Group, Strategy Alternatives for the British Motorcycle Industry, a report prepared for the Secretary of State for Industry (London: HMSO, 1975). Also see, Harvard Business School, Note on the Motorcycle Industry—1975, Case 578-210 (Boston, MA: HBS Case Services, 1982).

See The Economic Handbook of the Machine Tool Industry, 1987–88, National Machine Tool Builders Association, Arlington, VA, 1987, p.44 and 165.

Jacobsson Staffan , “Technical Change and Industrial Policy: The Case of Computer Numerically Controlled Lathes in Argentina, Korea, and Taiwan,” World Development, 13/3 (March): 353–370.

Ibid., p.356.

National Academy of Engineering, The Competitive Status of the U.S. Machine Tool Industry (Washington, D.C.: National Academy Press, 1983).

Real Bernard , Technical Change and Economic Policy: The Machine Tool Industry (Paris: OECD, 1980).

MacKnight Susan , “U.S.-Japan Competition in Machine Tools: An Update,” JEI Report, No. 36A., Washington, D.C., Japan Economic Institute, September 1984.

Johnson Chalmers , MITI and the Japanese Miracle (Stanford, CA: Stanford University Press, 1982).

OECD, The Industrial Policy of Japan (Paris: OECD, 1972).

Ibid., p.21.

Ozaki Robert S. , “How Japanese Industrial Policy Works,” in Johnson Chalmers , ed., The Industrial Policy Debate (San Francisco, CA: Institute for Contemporary Studies Press, 1984).

U.S. International Trade Commissions, Foreign Industry Targeting and Its Effect on U.S. Industry, Phase I: Japan, USITC, Publication 1437, (Washington, D.C.: USITC, 1983); Johnson Chalmers , MITI and the Japanese Miracle (Stanford, CA: Stanford University Press, 1982); General Accounting Office, Industrial Policy: Japan's Flexible Approach, Report to the Chairman of the Joint Economic Committee, U.S. Congress, Publication GAO/ID-82-32, (Washington, D.C.: GAO, 1982); and, Ministry of International Trade and Industry, Japan, The Vision of MITI's Policies in 1980's, MITI, March 1980.

Prestowitz Clyde V. Jr. , Trading Places (New York, NY: Basic Books, 1988), especially Ch. 8, the “Conflict between Economic and National Security,” pp. 218–219.

Copaken Richard D. Singer Andrew W. Garibaldi O.M. Richman M.P. , Petition to the President of the United States through the Office of the U.S. Trade Representative for the Exercise of Presidential Discretion Authorized by Section 301 of the Revenue Act of 1971, submitted by Houdaille Industries Inc. (Washington, D.C.: Covington & Burling, May 1982).

U.S. International Trade Commission (1983), op. cit., Table 33.

National Machine Tool Builder' Association, The Economic Handbook of the Machine Tool Industry, 1987–88 (McLean, VA: NMTBA, 1987), p.60

Prestowitz , op. cit., Ch.8.

Daiwa Securities, The Analysts Guide (Tokyo: Daiwa Securities Co. Ltd., 1980).

Hayes Robert H. Wheelwright Steven C. , Restoring our Competitive Edge (New York, NY: Wiley, 1984).

Hatsopoulos George N. , High Cost of Capital: Handicap of American Industry (Waltham, MA: Thermo-Electron Corporation, 1983); and, Sarathy R. Chatterjee S. , “The Divergence of Japanese and U.S. Corporate Financial Structure,” Journal of International Business Studies, 15/3 (Winter 1984): 75–89.

Hout T.M. Stalk George , The Kanban Manufacturing System and Its Implications for Corporate Strategy (Tokyo: The Boston Consulting Group, 1982).

Silver Andrew J. , Machine Tool Industry: KO'd by the Japanese (New York, NY: Donaldson, Lufkin and Jenrette, May 16, 1984).

Olechowski A. Sampson G. , “Current Trade Restrictions in the EEC, U.S., and Japan,” Journal of World Trade Law, 14/3 (1980).

Tange Toshiko , “Trade Frictions and Productivity Performance—Technological, Price, and Cost Competitiveness of Japan and U.S. Exports,” Journal of Policy Modeling, 5/3 (1983).

Sakakibara Eisuke Feldman Robert , “The Japanese Financial System in Comparative Perspective,” Journal of Comparative Economics, 7/11 (March 1983).

The Economist, “Japanese Steel's Survival Instinct,” March 10, 1984.

Tsurumi Yoshi , “Japan's Challenge to the U.S.: Industrial Policies and Corporate Strategies,” Columbia Journal of World Business (Summer 1982).

Lustgarten E. , Machine Tool Industry: Is there Life after Detroit? (New York, NY: Paine Webber, December 1982), p.10.

Sciberras E. Payne J. , Machine Tool Industry: Technical Change and International Competitiveness (Harlow, Essex, U.K.: Longman, 1985).

Lustgarten E. , Status Report: National Machine Tool Builders (New York, NY: Paine Webber, November 12, 1984), p.10

See Tables 30, 33, 34, and 37 in USITC (1983), op. cit.

Lustgarten (1982), op. cit.

Cremeans J.E. Dalton D.H. , “The U.S. Machine Tool Industry and International Competition,” Industrial Economics Review (Spring 1982), Washington, D.C., Bureau of Industrial Economics, U.S. Department of Commerce; see p.5, Table 3.

Jacobsson (1985), op. cit.

Cremeans Dalton (1982), op. cit., p.11.

Grupp H. Hofmeyer O. , “A Technometric Model for the Assessment of Technological Standards and their Application to Selected Technology-intensive Products,” Technological Forecasting & Social Change, Vol. 30 (1986): 123–137.

Japan Economic Journal, “European Machine Tool Stocking Center is Eyed,” June 17, 1980.

Inaba Minoru , “Japan's Machine Tool Stocks,” American Metal Market, June 28, 1982.

U.S. International Trade Commission, Competitive Assessment of the U.S. Metalworking Machine Tool Industry, USITC Publication No. 1428, Washington, D.C., USITC, September 1983, p.113.

Day George S. Montgomery David B. , “Diagnosing the Experience Curve,” Journal of Marketing, 47 (Spring 1983): 44–58

Krugman Paul R. , ed., Strategic Trade Policy and the New International Economics (Cambridge, MA: MIT Press, 1986), sp. Chapter 1, Introduction: New Thinking about Trade Policy.

Prestowitz Clyde V. Jr. , Trading Places (New York, NY: Basic Books, 1988), Ch. 8, p.221.

Freeman Christopher , Technology Policy and Economic Performance (London: Pinter Publishers, 1987).

Krugman Paul , “The U.S. Response to Foreign Industrial Targeting,” Brookings Papers on Economic Activity, Washington, D.C., Brookings Institution, 1984.