For one thing, it's strategically important for Japan, which has none of its own, and in the past there's been a lot of pressure on the government to play an active role in regulating the industry. Some historians argue that the threat of an oil embargo helped propel Japan into the Pacific War. Such pressure seems to be diminishing today. Therefore, the importance of oil is now declining. True competition among oil, coal, natural gas, and nuclear power will lead to a revitalization of Japan's industry.
Electronic markets can survive in Japan.
Given the fact that a few large companies now dominate the top of the food chain, some investors may be wary of putting any money into an oil-trading startup. He approached foreign VCs, but found their requirements too narrow. Speaking of which, the firm is eyeing an IPO in the third quarter of next year, and Wada is looking for a subsequent round of venture funding before then. Post-IPO, the firm plans to establish commodity markets for cement, chemicals, and paper, among others. It's also looking into licensing its patent-pending system for use in other countries.