EXCLUSIVE: Japan Govt Wants Small Firms to Enhance Biz Literacy

Tokyo, March 25 (Jiji Press)–The Japanese government will urge managers of smaller companies to improve business literacy for their firms’ long-term viability, it was learned Wednesday. In the 2026 white paper on small and medium-sized companies, to be released shortly, the government will underscore the importance of investment in growth fields, proper price pass-through, mergers and acquisitions for business realignment and succession, and the utilization of artificial intelligence, according to the outline of the report. The outline also emphasizes that quality control and management planning capabilities should be enhanced, saying that “there is room for improvement” in business literacy. Observing that small and midsize companies are facing the challenges of keeping raising funds to sustain wage increases, securing workforce amid worsening labor shortages and coping with rising interest rates, it points out that “maintaining the status quo is the greatest risk” to corporate management at a time when the business environment is changing. Those firms need to get stronger by adopting long-term management perspectives, the outline adds. END [Copyright The Jiji Press, Ltd.]