Japanese electronics companies start frantic restructuring

Behemoths like NEC Electronics and Hitachi are trying to find new ways to survive, but cost cutting has its limits.

It's not often you hear analysts say cost cutting has gone far enough, but that's what a research report from Macquarie said about NEC Electronics' restructuring plans for the next 12 months.

Accelerated cost reductions are a positive but not a sustainable driver for recovery...it is difficult to sustain because it demands heavy sacrifices from employees in the form of large cuts to wages and bonuses and other severe economies. We believe NEC Electronics cannot maintain the annual cuts in...

To continue reading, please login or register for free

Print Edition

FinanceAsia Print Edition


  • Green Bonds Southeast Asia

    25 May 2017  |  Singapore
    With Green Bonds globally reaching USD200 billion outstanding in 2016, from as little as 30bn just 4 years ago, can SE Asia corporations and ...
  • 2nd Compliance Summit Southeast Asia

    17 August 2017  |  Singapore
    The 2017 Compliance Summit Southeast Asia will take an in-depth look at the key compliance considerations today with a focus on regulation and new ...