They survived World War II and lost decades, but not 2026. Japan's century-old businesses are disappearing at a record pace
Japan’s century-old businesses face mounting pressures from rising costs, labor shortages, a shrinking market and succession challenges.
TL;DR
- Kadoya Sesame Mills, founded in 1858, is going private amid rising costs and geopolitical risks.
- Japan's century-old businesses are facing record bankruptcies due to shrinking markets, labor shortages, and succession challenges.
- Rising raw-material costs and inflation are difficult for smaller, domestically focused businesses to absorb.
- A declining birth rate and aging population exacerbate labor shortages and domestic competition.
- Succession challenges are a growing problem, with bankruptcies linked to a lack of successors increasing.
- A combination of factors including a weaker yen, corporate governance reforms, and economic pressures are driving reassessments of business strategies.