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The 143rd Business Conditions (January-March 2016)

Survey Procedures

  Number of companies surveyed Number of valid response companies Response rate (%)
Manufacturing 4,640 (24.5) 4,467 (24.5) 96.3
Construction 2,410 (12.7) 2,322 (12.7) 96.3
Wholesale trade 1,186 (6.3) 1,126 (6.2) 94.9
Retail trade 4,672 (24.7) 4,494 (24.6) 96.2
Services 6,040 (31.8) 5,826 (32.0) 96.5
Total 18,948 (100.0) 18,235 (100.0) 96.2

Note: Figures in parenthesis show the composition ratios (%)

(1) Date of the survey:
As of March 1, 2016
(2) Survey method:
Feedback given to management consultants belonging to the Commerce and Industry Association and Chamber of Commerce and Industry throughout the country, and to survey personnel of the Federation of Small Business Associations
(3) Companies surveyed:
The nationwide complement of small and medium-sized enterprises as defined in the Small and Medium-sized Enterprise Basic Act
(4) Others
・For every quarter from April to June, the data in previous years is replaced with seasonally-adjusted data.
・The most recent long-term time series data is displayed on the website of the Small and Medium Enterprise Agency as well as that of the Organization for Small and Medium Enterprises and Regional Innovation

Business conditions DI

(1) All industries

For the January-March period of 2016, the business conditions DI for all industries was minus 18.1 (down 3.0 points from minus 15.1 for the previous quarter), creating an increase in the negative margin for the first time in three quarters.

The business conditions DI for manufacturing was minus 16.8 (down 3.9 points from minus 12.9 for the previous quarter), indicating an increase in the negative margin for two consecutive quarters. The business conditions DI for non-manufacturing was minus 18.8 (down 3.0 points from minus 15.8 for the previous quarter), showing an increase in the negative margin for the first time in three quarters.

Changes in the business conditions DI of small and medium-sized enterprises by size of trade

Changes in the business conditions DI of small and medium-sized enterprises by size of trade

(2) Manufacturing

The business conditions DI for manufacturing was minus 16.8 (down 3.9 points from minus 12.9 for the previous quarter), indicating an increase in the negative margin.

To be specific, for the 14 industries that make up manufacturing, the DI turned positive from a negative value: 1.4 (up 6.2 points from the previous quarter) for chemical and allied products. The DI remained negative with the negative margin decreasing for five industries, including minus 2.4 (up 6.6 points from the previous quarter) for pulp, paper and paper products, and minus 15.7 (up 5.3 points from the previous quarter) for furniture and fixtures. The DI remained negative with the negative margin increasing for eight industries, including minus 17.2 (down 13.6 points from the previous quarter) for transportation equipment, minus 23.7 (down 9.0 points from the previous quarter) for iron and steel and non-ferrous metals, minus 31.5 (down 8.8. points from the previous quarter) for ceramic, stone and clay products, minus 20.7 (down 8.4 points from the previous quarter) for textile mill products, and minus 30.8 (down 8.4 points from the previous quarter) for printing.

Changes in the business conditions DI of small and medium-sized enterprises by industry (1)
(From January-March, 2013 to January-March, 2016)

Changes in the business conditions DI of small and medium-sized enterprises by industry (1)

Changes in the business conditions DI of small and medium-sized enterprises by industry (2)
(From January-March, 2013 to January-March, 2016)

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Changes in the business conditions DI of small and medium-sized enterprises by industry (2)

(3) Non-manufacturing

The business conditions DI for non-manufacturing was minus 18.8 (down 3.0 points from minus 15.8 for the previous quarter), showing an increase in the negative margin.

To be specific for the individual industries, the DI remained negative with the negative margin increasing for all industries: minus 11.5 (down 3.0 points from the previous quarter) for construction, minus 28.4 (down 2.9 points from the previous quarter) for retail trade, minus 15.2 (down 2.8 points from the previous quarter) for services, and minus 13.5 (down 1.3 points from the previous quarter) for wholesale trade.

Changes in the business conditions DI of small and medium-sized enterprises by industry
(From January-March, 2013 to January-March, 2016)

Changes in the business conditions DI of small and medium-sized enterprises by industry

To be specific for the services sectors, the DI remained positive with the positive margin slightly increasing for information and communications and advertising: 0.8 (up 0.2 points from the previous quarter). The DI remained negative with the negative margin increased for six sectors, including minus 18.6 (down 6.9 points from the previous quarter) for personal services related with daily lives, minus 9.6 (down 6.9 points from the previous quarter) for services to business establishments including professional and technical services, minus 13.3 (down 5.9 points from the previous quarter) for services to business establishments including transportation and warehousing, minus 24.2 (down 5.6 points from the previous quarter) for personal services including automobile maintenance services and others, minus 17.5 (down 3.3 points from the previous quarter) for eating and drinking places, and minus 4.5 (down 2.2 points from the previous quarter) for accommodations.

Changes in the business conditions DI of small and medium-sized enterprises engaged
in services industries by industry
(From january-March, 2013 to January-March, 2016)

Changes in the business conditions DI of small and medium-sized enterprises engaged in services industries by industry

(Note)
  • “Personal services related with daily lives” consist of eight kinds of services, including real estate, laundry/hair dressing/beauty/public bath, and other services related with daily lives of people.
  • “Personal services including automobile maintenance services and others” refers to automobile maintenance services, and machinery and equipment repair services.
  • “Services to business establishments including transportation and warehousing” consists of five kinds of services, including road passenger transportation, road freight transportation, and warehousing.
  • “Services to business establishments including professional and technical services” consists of five kinds of services, including professional services, technical services, and waste disposal services.

Changes in the business conditions DI of small and medium-sized enterprises by size of trade

Changes in the business conditions DI of small and medium-sized enterprises by size of trade

Financing DI

The financing DI for all industries was minus 13.8 (down 1.7 points from minus 12.1 for the previous quarter), indicating an increase in the negative margin.

To be more specific, the DI remained negative with the negative margin increasing for both manufacturing and non-manufacturing: minus 12.1 (down 0.7 points from minus 11.4 for the previous quarter), and minus 14.4 (down 2.0 points from minus 12.4 for the previous quarter) respectively.

 

Changes in the business conditions DI of small and medium-sized enterprises by size of trade

Changes in the business conditions DI of small and medium-sized enterprises by size of trade

[Topics (1)] Trends in the materials/goods purchase unit prices DI, the unit sales price/per-customer sales DI, and the profit (ordinary profit) DI

For the current quarter, the materials/goods purchase unit prices DI (“rise” minus “fall” on a year-on-year basis) was 22.6 (down 8.0 points from 30.6 for the previous quarter), showing a decrease in the positive margin and moving toward the level of the January-March period of 2013.
The unit sales price/per-customer sales DI (same as above) was minus 13.5 (down 3.5 points from minus 10.0 for the previous quarter), indicating an increase in the negative margin, and the profit (ordinary profit) DI (same as above) was minus 25.6 (down 3.3 points from minus 22.3 for the previous quarter), indicating an increase in the negative margin.

The materials/goods purchase unit prices DI, the unit sales price/per-customer sales DI and the ordinary profit DI
(on a year-on-year basis)

The materials/goods purchase unit prices DI, the unit sales price/per-customer sales DI and the ordinary profit DI (on a year-on-year basis)

[Topics (2)] Changes in the excess or shortage of employees DI (by the current quarter level)

The excess or shortage of employees DI (“excess” minus “shortage” by the current quarter level) was minus 14.0 (up 0.6 points from minus 14.6 for the previous quarter), showing a slight decrease in the negative margin for the first time in three quarters with a lowered sense of shortage.

To be specific for the individual industries, the DI remained negative with the negative margin increasing for four industries, including minus 20.6 (up 3.2 points from minus 23.8 for the previous quarter) for construction, minus 18.5 (up 1.0 points from minus 19.5 for the previous quarter) for services. The DI remained negative with the negative margin slightly increasing for retail trade: minus 8.4 (down 0.9 points from minus 7.5 for the previous quarter).

Changes in the excess or shortage of employees DI by industry (current quarter level)

Changes in the excess or shortage of employees DI by industry (current quarter level)