Japanese Business Glossary

株式交換 (kabushiki kokan) refers to a share exchange or stock swap in Japanese. This process involves one company acquiring another company by exchanging its own shares for the shares of the target company. As a result, the target company becomes a wholly owned subsidiary of the acquiring company.

In a kabushiki kokan, shareholders of the target company receive shares of the acquiring company in proportion to their existing holdings. This exchange ratio is determined based on the valuation of both companies and is outlined in the share exchange agreement. The process typically involves several steps, including negotiations, due diligence, approval from the boards of directors, and, in many cases, approval from shareholders of both companies.

Kabushiki kokan is commonly used in mergers and acquisitions as it allows the acquiring company to take control of the target company without needing to pay cash upfront. It provides a way to consolidate businesses, expand market presence, or achieve strategic goals. For the shareholders of the target company, the share exchange can offer an opportunity to become part of a larger, potentially more stable and profitable entity.

Overall, kabushiki kokan is a strategic financial maneuver that facilitates corporate restructuring and growth by leveraging equity rather than cash, aligning the interests of both companies and their shareholders.

調整 (chosei) refers to adjustment or regulation in Japanese. This term is widely used in various contexts to denote the process of modifying, calibrating, or aligning something to achieve a desired state or condition. It involves making necessary changes to ensure optimal performance, balance, or compliance with specific standards or requirements.

In a business context, chosei can refer to financial adjustments, such as reallocating budgets, adjusting financial statements, or revising forecasts to reflect current conditions accurately. It can also involve operational adjustments, such as optimizing workflows, modifying schedules, or altering production processes to improve efficiency and meet targets.

In technical fields, chosei might involve fine-tuning equipment, calibrating instruments, or adjusting system settings to ensure accurate measurements and proper functioning. In everyday life, chosei can apply to personal scheduling, dietary changes, or lifestyle modifications to achieve better health or work-life balance.

Overall, chosei is about making precise and considered changes to adapt to new information, circumstances, or goals. It is a crucial process for maintaining flexibility, efficiency, and effectiveness in various activities and endeavors.

果実 (kajitsu) is a Japanese word that means "fruit" in English. It refers to the edible reproductive body of a seed plant, typically sweet and fleshy, consumed as food. The term can be used in various contexts, including culinary, agricultural, and botanical discussions.

In Japan, fruit holds a special place in culture and cuisine. High-quality fruit is often given as gifts, and fruits like melons, strawberries, and grapes can be quite expensive due to their careful cultivation and presentation.

融通 (yuzu) is a Japanese term that means "flexibility" or "adaptability." It refers to the ability to adjust to different situations or to accommodate various needs and circumstances. The concept of yuzu is valued in many aspects of Japanese culture and business, emphasizing the importance of being flexible and responsive to changes and challenges.

In a financial context, yuzu can also refer to "financing" or "lending," indicating the ability to provide or obtain financial support or resources as needed. This term underscores the importance of being able to adapt and manage resources effectively to meet different financial demands.

分割 (bunkatsu) is a Japanese term that translates to "division" or "split" in English. It refers to the act of dividing something into parts or segments. This concept can be applied in various contexts.

In business, bunkatsu can refer to the splitting of a company into smaller entities, the division of shares, or the separation of assets. For example, a company may undergo a corporate split, where it divides into separate businesses, each focusing on different aspects of the original company’s operations.

In finance, bunkatsu can refer to the division of payments, such as paying in installments instead of a lump sum.

In general use, bunkatsu can simply mean dividing any object, task, or quantity into smaller, more manageable parts. The term emphasizes the process of breaking down a whole into its component parts.

欠損 (kesson) is a Japanese term that translates to "loss" or "deficit" in English. It is commonly used in financial and business contexts to refer to a situation where expenses exceed revenues, resulting in a financial loss. This term can be applied to various scenarios, such as a company's financial performance, budget deficits, or shortfalls in revenue.

In accounting, a deficit or loss can impact a company's financial health and may require measures to address and mitigate the negative impact. This could include cost-cutting, restructuring, or seeking additional revenue sources.

In a broader context, kesson can also refer to any type of deficiency or shortfall, not just financial, such as a loss of resources, a gap in supply, or an absence of something essential. The term highlights the notion of lacking or being insufficient in a particular area.