This is just a brief follow-up on a post I made a few weeks ago on the territorial disputes in our part of the world spilling over into commerce. For instance, insofar as the Chinese leadership could use a convenient scapegoat right now for the PRC's slowing economy, what use is there attempting to soften public ire aimed at Japanese firms? Amidst the factory shutdowns, consumer boycotts and thrashed Japanese-brand products, the plight of one Japanese firm is illustrative of how things are getting pretty bad for its compatriots operating in China:
The company cut its overall full-year sales forecast by 200 billion yen on Thursday. Japan's Sony Corp said Thursday that anti-Japan sentiment in China and weakness in the world's second-largest economy is likely to dent the company's sales by 30 billion yen ($375.3 million) in the year ending next March 31.It is much easier to destroy than to build trade ties that have taken literally decades and decades to establish, and I think we are being reminded of this almost daily now.