The shogunates distributed estates (shoen) to loyal subjects, the most powerful of whom became daimyo, or governors of vast land masses who often had private armies.
[2] Over time, however, the most powerful jito and shugo (daimyo) began challenging the authority of the shogun, eventually leading to the collapse of the feudal system in the 19th century.
Appearing in Japan during the 13th century, this process was accelerated by the development of more advanced agricultural technology including double-cropping and increased fertilizer use.
[3] The coalescence of medieval villages gave way to the emergence of forts and castles, often along trade routes or rivers, which served as homes for daimyos (feudal lords) and local samurai groups.
As a result, peasants, artisans, and merchants, relying on farmers for food, migrated toward these agricultural sites, creating urban centers for commerce.
During this time, a clear hierarchy emerged, atop which sat the emperor (who in reality was a figurehead), followed by the shogun, daimyo, samurai, farmers, artisans, and merchants at the bottom.
Quickly, global trade routes were established which exposed Japan to refined sugar, firearms, new shipbuilding techniques, and Christianity.
Similarly, the Chinese placed a high value of Japanese silver, creating a commerce market that the Portuguese were able to navigate with financial success.
The civil war in Japan during the late 16th century also benefited Portuguese merchants, as daimyos competed with each other to offer more attractive trading conditions in their farms.
As a result of trade expansion beginning in the twelfth century, Chinese (and other foreign-made) coins were gaining popularity and were adopted as the preferred currency.