JNR privatization delivered mixed bag for current-day operators

[bill937ca]

The Japanese National Railways breakup and rebirth into seven Japan Railways Group companies 30 years ago — a grand scheme that privatized the state-run train services — has delivered a mixed bag of results for operators dealing with the legacy.

 

In a shift in focus to profit generation, from the often-criticized JNR oyakata hinomaru (state-backed) era marked by arrogance and an irresponsible way of operations, four of the seven offshoots — East Japan Railway Co., West Japan Railway Co., Central Japan Railway Co. (JR Tokai) and Kyushu Railway Co. have achieved stock listings.

 

http://www.japantimes.co.jp/news/2017/03/31/business/corporate-business/jnr-privatization-delivered-mixed-bag-current-day-operators/

[bill937ca]

The problem for JR Hokkaido, JR Kyushu and Shikokku Railway Co. is that they operate in rural areas in a country with 93.50% urban population.

 

http://www.tradingeconomics.com/japan/urban-population-percent-of-total-wb-data.html

 

http://www.worldometers.info/world-population/japan-population/

Edited March 31, 2017 by bill937ca

[Sacto1985]

In fact, one of the smartest moves was JR Central taking over the Tokaidō Shinkansen line, the world's busiest high-speed rail line. The immense profits from the Tokyo to Shin-Osaka operation has allowed JR Central to keep most of its trackage intact, for example the very rural Iida Line from Toyohashi to Okayu (via an old section of the Chūō Main Line).

[Sacto1985]

I think JR Kyushu really lucked out with management that realized they have to properly diversify to make profits.

 

Look at what they've done:

 

1. Turned Hakata Station--the west end of most Nozomi services on the Shinkansen--into a major shopping destination. Two other stations, Kokura and Kagoshima-Chūō--have seen similar remodeling efforts, though on a somewhat smaller scale.

2. Aggressively pursued business travelers on non-Shinkansen lines with modern limited express trainsets (783, 787, 883 and 885) between Sasebo/Nagasaki, Fukuoka/Hakata, Kitakyushu and Oita.

3. bought a lot of new trainsets post breakup. It's getting harder and harder to find pre-breakup trainsets on JR Kyushu property.

4. Aggressively pursued the tourism market with multiple tourist-oriented trains, including the ground-breaking Seven Stars in Kyushu.

 

I do think it helps JR Kyushu that the Fukuoka-Kitakyushu corridor is one of the few regions in Japan outside of Tokyo that is still growing in terms of population and financial influence.

[katoftw]

Kita-Kyushu actually has a declining population with many abandened houses.  I'll see if I can find the article.  IT was tied in with the closure of that space theme park.  Pretty sure it was a JT article.

 

JR Kyushu also has one of the highest percentage of pre break up trains of all the groups, so that is incorrect about finding JNR trains in Kyushu.

 

edit//

 

Among the four firms operating the aging cars, JR Hokkaido has the highest proportion in service for at least 30 years, at 32 percent. It is followed by JR West and JR Shikoku, both at 30 percent, and JR Kyushu, with 28 percent of railcars having been in operation for at least 30 years.

 

http://www.japantimes.co.jp/news/2017/03/19/business/economy-business/railcars-used-many-jr-firms-service-30-years/#.WN73WtR94sZ

Edited April 1, 2017 by katoftw

[katoftw]

3. bought a lot of new trainsets post breakup. It's getting harder and harder to find pre-breakup trainsets on JR Kyushu property.

4. Aggressively pursued the tourism market with multiple tourist-oriented trains, including the ground-breaking Seven Stars in Kyushu.

 

I do think it helps JR Kyushu that the Fukuoka-Kitakyushu corridor is one of the few regions in Japan outside of Tokyo that is still growing in terms of population and financial influence.

http://www.japantimes.co.jp/news/2017/03/30/national/old-age-depopulation-decimating-bomb-spared-kitakyushu/#.WN89odR94sY

 

I also found the article about declining population in Kita-Kyushu.

[Kiha66]

 

Not just Hakata, even some of the smaller stations, like Sasebo and Nagasaki have been redone into shopping.  And in sasebo at least, they elevated the station and took out the railyard, then turned in the large amount of space in the city center into shopping malls, restaurants, and a nice waterfront park.  Some other space was tuned into offices and hotels too.