After
Japan’s surrender (1945) in
World War II, the breakup of the zaibatsu was announced as a major aim of the Allied occupation. Their controlling families' assets were seized, holding companies (the previous "heads" of the zaibatsu conglomerates) eliminated, and interlocking directorships, essential to the old system of intercompany collaboration, were outlawed. Stock owned by the parent companies was sold, and the individual companies that made up the zaibatsu were made independent entities, although the management within each company remained largely unchanged. Among the zaibatsu that were targeted by the
Supreme Commander of the Allied Powers (SCAP) for dissolution in 1946 were Asano, Furukawa, Nakajima, Nissan, Nomura, and Okura. Matsushita Electric Industrial Co., Ltd., though not a zaibatsu, was originally targeted for breakup, but was saved by a petition signed by 15,000 of its trade union workers and their families.
After the signing of the peace treaty in 1951, individual companies began associating in “enterprise groups”
(kigyo shudan), organized around leading companies or major banks. They differed from the previous centralized zaibatsu in that their collaboration was more informal, and the financial interdependency among the member companies was limited. The cooperative nature of these groups became a major factor in the rapid economic growth of postwar Japan, as they pooled their resources to invest in developing industries.
Complete dissolution of the zaibatsu was never achieved by Allied reformers or SCAP, mostly because, in an effort to reindustrialize Japan as a bulwark against Communism in Asia, the U.S. government rescinded the SCAP orders to deconcentrate Japan's large companies
[2] Zaibatsu as a whole were widely considered to be beneficial to the Japanese economy and government. The Japanese public, zaibatsu workers and management, and the entrenched bureaucracy were unenthusiastic and disapproving of plans to dissolve the zaibatsu. The change in the political focus of the Occupation during the reverse course crippled efforts to eliminate the zaibatsu.
Modern Influence
Today, the influence of the zaibatsu can still be seen in the financial groups, institutions, and larger companies whose origins reach back to the original zaibatsu, often sharing the same original family names (for example, Sumitomo Mitsui Banking Corporation). However, some argue that the "old mechanisms of financial and administrative control" that zaibatsu once enjoyed have been destroyed. Though large industrial conglomerates continue to exist in Japan, the vertically-integrated chain of command of the zaibatsu, culminating in control by a single family, has now widely been displaced by the horizontal relationships of association and coordination characteristic of
keiretsu (系列, meaning "series" or "subsidiary").