Japanese FDI driving regional economic integration in East Asia.
Japanese companies and the Japanese government are working together to expand the division of labor in East Asia through foreign direct investment. This means they are helping different countries in the region specialize in specific industries. Japanese investment plays a big role in this process. However, this approach may not lead to a fair regional cooperation because Japan is much more powerful economically than its neighbors. The goal is to boost regional economic integration, but the current strategy may not be sustainable in the long run.