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vy Inds.MitsubishiCorp.MitsubishiBankMitsubishi Trust BankingMeiji Mutual Life InsuranceTokioMarine FireInsuranceMitsubishiWarehouse TranspMitsubishi MotorsNippon YusenMitsubishi KakokiMitsubishi RayonMitsubishi Const.Mitsubishi EstateAsahi GlassMitsubishiResearchInstituteMitsubishi ElectricNikonMitsubishi SteelMitsubishi MaterialsMitsubishi AluminumMitsubishi CableMitsubishi ShindohMitsubishi Plastic Inds Mitsubishi Gas ChemicalMitsubishi Kasei Mitsubishi PetrochemicalMitsubishi Paper MillsKirin BreseryMitsubishi OilMembers of the MitsubishiIndustrial Structure of Matsushita GroupMatsushita Electric IndustrialELECTRICAL20 paniesHOUSING1 panyBICYCLES2 paniesCDs/ TAPES1 panyMACHINERY1 pany REAL ESTATE1 panyFINANCE3 paniesLIGHTING1 panyInner Group of Companies in MitsubishiMitsubishiCorp.MitsubishiBankMitsubishiHeavyIndustriesMetalsChemicalsReal EstateGlassTextilesPaperVertical Keiretsu220。Definition of Vertical Keiretsusimilar set of connectionssupplier and distributor works in same industry220。Average size of 35 Vertical groups – Assets = trillion yenw Parent firm accounted for half the size– Sales = 4 trillion yenw 20% of groups had sales 10 trillion yenw 22% of sales from subsidiaries/ affiliates went to parentw 13% of parent sales went to subsidiaries/ affiliates220。Key types of Vertical KeiretsuProduction Keiretsu– Centered around major automotive manufacturersw Toyotaw HondaSales Distribution Keiretsu– Vertical integration of product distribution from factory to retail outlets w Matsushitaw Hitachiw Sonyw Aeon220。Characteristics of Vertical KeiretsuHigh equity shareholding in subsidiary/ affiliates – 91% on subsidiary。