Mitsubishi Corporation is the largest multinational Japanese trading company and also a member of the Mitsubishi Group. The company, Mitsubishi Corporation has ten different business segments to date and approximately employs 86,000 people worldwide. The main services provided by the company are energy, metal, food, consumer goods, financial services, construction, chemical, and machinery. Mitsubishi’s current headquarters are based in Chiyoda, Tokyo, Japan and it has a subsidiary, Lawson Inc which is a chain of convenience store franchises. So, let’s have a look at the history of the company and its predecessor.
History of Mitsubishi Corporation
The foundation of the Mitsubishi Corporation originally dates back to the time when Yataro Iwasaki founded Mitsubishi Group and eventually expanded the business. Yataro Iwasaki didn’t originally build the company but his responsibilities in the Tosa clan’s trading operation eventually made him the head of the business. The story of Mitsubishi dates back to the time when Iwasaki was employed by the Tosa clan and got his posting in Nagasaki. After he started working in the trading sector of Tsukumo Shokai, the company’s name was changed to Mitsukawa Shokai followed by Mitsubishi Shokai. In the early 1870s, the company’s name again changed to Mitsubishi Steamship Company which received government sponsorship to start a mail service between Yokohama and Shanghai.
Iwasaki, after working for a few years in the company, started to lead it in the late 1800s. His main goal was to diversify the business and thus entered the insurance, mining, and shipbuilding sector. In 1885, the unfortunate event of Iwasaki’s death took place and the responsibility of the company fell on the shoulders of Yanosuke Iwasaki, his successor. The new leader wanted to focus more on the coal and mining business and thus decided to merge the shipbuilding business with Nippon Yusen Kaisha, a rival company. In 1918, the international trading business of Mitsubishi formed another company, Mitsubishi Shoji Kaisha. Mitsubishi played a very active role during World War II as the company’s heavy industry sector was responsible for producing ships, aircraft, and heavy machinery.
Dissolution of the Company
After the end of World War II, the Allied Occupation of Japan wanted the dissolution of all existing zaibatsu (large conglomerates who had significant dominating power in the Japanese economic market). Mitsubishi was one of those zaibatsu and though the company showed resistance initially, the rules were eventually implemented. The dissolution eventually took place in 1947 and Mitsubishi Shoji got rebranded into 100 different companies. But, after three years the re-consolidation was possible and Mitsubishi once again coalesced into three companies. This merger was finally completed in 1954 and it represents the present-day Mitsubishi Corporation. The company eventually listed itself in Tokyo Stock Exchange and Osaka Stock Exchange. By 1960, Mitsubishi had over fifty international offices and also established a US subsidiary, Mitsubishi International Corporation.
Two subsidiaries of Mitsubishi Corporation along with Mitsubishi Corporation became very prominent in Japan during the post-war scenario. Those two subsidiaries are Mitsubishi Heavy Industries and Mitsubishi Motor Company. In the late 1960s, Mitsubishi became the largest general trading company in Japan and eventually stepped out to acquire a lot of international companies and together formed Mitsubishi Group. Last year, a company called Berkshire Hathaway acquired 5 percent stock in Mitsubishi Corporation along with a few other Japanese trading houses.
About Mitsubishi Group
The history of Mitsubishi Group and Mitsubishi Corporation dates back to the same time as Yataro Iwasaki is the founder of both of these businesses. Dissolution of the company followed by re-consolidation has kept the brand name of Mitsubishi intact and one of the best in its sector. Mitsubishi Corporation is one of the four companies under the Mitsubishi Group. The other three being MUFG Bank, Mitsubishi Electric, and Mitsubishi Heavy Industries. MUFG Bank became the largest bank in Japan after it merged with the Bank of Tokyo and UFJ Holdings. The business of Mitsubishi Group is massive as there are more than these four main companies under the shadow of Mitsubishi Group.
About the Founder
Iwasaki Yataro was one of the most successful industrialists and financiers of Japan. Iwasaki’s exposure to modernization and scope in the industry was possible when he became an employee of the Tosa clan. Seeing his contributions in diversifying the business of Mitsubishi, he was contracted by the Japanese government during World War II to send supplies. Iwasaki’s demise was due to stomach cancer in 1885.
Annasha Dey is an NIT student, who apart from studying engineering is also a content writer. She has a great interest in photography, writing, reading novels, and travelling as well. She is a foodie who loves socializing and hanging out with her friends. She is also a trained Kathak dancer and a big fashion enthusiast. Dey also loves watching TV series, which includes F.R.I.E.N.D.S. and Big Bang Theory. To be a better writer she prefers to read more