In recent years, market uncertainty has increased due to the reshuffling of industry players caused by changes in consumer behavior and the emergence of game changers, as well as supply chain disruptions, sharp exchange rate fluctuations, and heightened geopolitical risks against the backdrop of the U.S.-China trade friction.
Given the recent instability in international affairs, these trends are expected to continue over the long term. In particular, since the birth of the second Trump administration, he has announced a policy of raising tariffs in rapid succession and is aggressively pursuing a tariff policy also known as “Trump tariffs.

While concerns about the U.S. and global economy have had a significant impact on currency and stock prices as a result of the U.S. tariff policy review, the scope and impact will not be limited to that, but is expected to have a significant impact on the operations of multinational companies with global operations.
In response to geopolitical risks such as U.S.-China trade friction, the Corona disaster, and Russia’s invasion of Ukraine, some Japanese companies that have already taken steps to address supply chain risks and reorganize global supply chains are now beginning to study and analyze the “Trump tariffs” in earnest.
In Japan, the TSE’s request in March 2023 for listed companies with P/B ratios below 1x to disclose and implement improvement measures has raised expectations in the market for companies to review their business portfolios in order to enhance corporate value.

In addition to the introduction of KPI and performance evaluation systems with an awareness of profitability and capital efficiency based on ROIC, the need for initiatives such as improving profitability in growth businesses, structural reforms in low-profit businesses, and divestiture of non-core businesses, as well as restructuring of overseas group companies (divestiture, withdrawal, integration among group companies, etc.), restructuring (functional allocation An increasing number of companies are considering and initiating reorganization (e.g., sale, withdrawal, integration among group companies) and restructuring (e.g., review of functional allocation, review of commercial distribution and logistics) of overseas group companies.
In order to sustainably grow the corporate value of the group in a rapidly changing business environment, it is important for a cross-functional team of corporate and business divisions at the group headquarters to always have multiple scenarios in mind and to compare and consider “strategic options” to determine and implement the most appropriate policy.