Japan Tankan Small Manufacturers Index

In order to calculate the Tankan Business Conditions Small Manufacturing Enterprises Diffusion Index, roughly 220,000 private businesses (excluding financial institutions) with at least 20 million yen in the capital were asked to participate in a survey in Japan. Respondents are asked to analyze current trends and situations in the business environment and their particular sectors, as well as their anticipated commercial activities for the upcoming quarter and year, in a survey that can be completed by mail or electronic mail. The indicator is determined by subtracting the percentage portion of firms that gave negative responses from the percentage share of enterprises that gave positive responses. The indicator fluctuates on a range from -100 to 100, with a value over zero indicating corporate positivity, a value below zero indicating corporate negativity, and a value of zero indicating neutrality.