Portfolio Perfor Mancereporting Essay Example

duty-free access to more than 97% of Australian exports, JAEPA has the potential to decrease expenses for businesses in Australia.

Not only does this agreement encourage Japanese investment in Australia, but it also benefits both countries. As a result of the agreement, Australia has become Japan's primary agricultural supplier, while Australian services have gained access to the Japanese commercial market. Part of this agreement involves a restructuring of Japan's Special Zone system, which includes the creation of six National Strategic Special Zones. The regulatory measures and tax treatments in these special zones differ from those outside of them, and the government provides financial support for them.

Japan has implemented the Special Zone system to augment its global competitiveness and encourage more foreign direct investment. Additionally, the Council to promote foreign direct investment was established in 2015 under the Prime Minister's direction. Its objective is to overhaul the investment initiation process and offer essential assistance to overseas investors.

The Japan External Trade Organisation (JETRO) is another related organization that focuses on promoting mutual trade and foreign direct investment. They provide foreign investors with extensive information, expert advice, and free temporary office space. Additionally, the Japanese government has made five promises to attract foreign business.

Various initiatives are being implemented in Japan to attract foreign investment. These include offering foreign language services at stores, providing free public wireless Lan to foreign investors, establishing airports that can accommodate business jets, ensuring access to quality education for the children of foreign investors, and providing consultancy services for foreign investment from both the Japanese and local governments. However, despite these efforts, certain industries in Japan remain under the monopoly of the government,

leading to restrictions on foreign direct investment.

According to the Japanese foreign investment guide (2015), certain industries are monopolistic, such as water supply, postal services, arms, atomic energy, explosives, aerospace and aviation. In addition, foreign investors in the telecommunication industry can only hold up to 30% of voting rights. However, the Japan business law handbook (2014) states that foreign private companies have the right to establish and own businesses in Japan and engage in profitable activities.

The Japanese government has the responsibility to ensure that foreign investment companies operate lawfully as per Article 821 of the 2005 company law. Hence, Australian companies can establish joint ventures and wholly-owned subsidiaries in Japan.