In the latter half of the 1950s and the 1960s, the private sector engaged in vigorous
competition among multiple companies and started to produce a large selection of
different types of cars. MITI’s original aim had been exactly the opposite to the
situation the market was headed towards. In June 1961, MITI proposed a plan to
concentrate automotive production so as to limit new entries and enhance the economies of scale among a small number of producers. Naturally, the plan did not work. Private
dynamism overrode the aims of MITI, and the competition of the market provided
incentives for many companies. MITI had been losing its powers of enforcement after
the end of the 1950s, and private companies did not necessarily follow MITI policy.