Keiretsu is a Japanese term that refers to a network of interlinked businesses, often centered around a major bank or corporation. These companies collaborate closely, sharing resources, information, and sometimes even ownership stakes. This system promotes stability and long-term relationships, which can enhance efficiency and reduce risks for the involved parties. In a keiretsu, firms typically include manufacturers, suppliers, and distributors, creating a cohesive supply chain. This structure is distinct from traditional competition, as it encourages cooperation among members. The concept has played a significant role in Japan's post-war economic growth, contributing to the success of many large corporations.