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Yamano Gakki was known for once being part of Epiphone Japan.
Kanda Shokai owned the Greco brand name and one of the conditions of the Fender Japan agreement was that Kanda Shokai cease production of its own Greco Fender copies.
Until the introduction of the Fender Squier series, Fender had never produced lower priced guitars based on its main Stratocaster and Telecaster models and had always used different model designs for its lower priced guitars.
In the late 1970s and early 1980s Fender was facing competition from lower priced Japanese made guitars.
Each roughly reflected the hardware, woods, color variations, finishes, body contours, and tonal characteristics of their respective era, although Squier state that the series was not created to be completely era correct, but rather impart the "vibe" (aura) of a classic Fender design. They featured a high gloss maple neck with both rosewood and maple fretboard options and a slimmer 40mm body.
As follows is an approximate method in which Squier dates the serial numbers of manufactured instruments. YN: Y = Yako (Taiwan), N = Nineties (1990s), the first number following the serial number prefix is the year.
It was established in 1890 by Victor Carroll Squier in Battle Creek, Michigan. By 1975, Squier became defunct as a manufacturer and a brand name for strings, as Fender opted to market its strings under the Fender brand name.
Squier Company manufactured strings for violins, banjos, and guitars.
Fender Musical Instruments Corporation entered the picture in the 1950s, when the V. Squier Company began supplying Southern California inventor and businessman Leo Fender with strings for his unusual new electric guitars. Before the Fender Squier line of guitars was introduced in 1982, Fender was making lower priced guitars such as the Fender Lead series at its Fullerton, California plant.Over time, the Squier series slowly evolved to include original model designs and production has moved from Japan to various other Asian countries such as Korea, China and Indonesia.The first Fender Japan models introduced in May 1982 were the 19 series, which were Fender Stratocaster models ST'57-115, ST'57-85, ST'57-65, ST'62-115, ST'62-85, ST'62-65 and the Precision Bass models PB'57-95, PB'57-70, PB'62-98, PB'62-75.In 1996, Squier began to manufacture the Vista Series, which saw them introducing their own unique guitar designs independent from the Fender mother company for the first time. MZ: M = Mexico, Z = 2000's, the first number following the serial number prefix is the year.Made in the same factory as the Japanese Fenders of the era, they were known as high quality guitars. For example, CN/VN: C = Cor-Tek (Cort), V = Saehan(Sunghan), S was already taken by Samick so Saehan(Sunghan) used V instead (Saehan(Sunghan) made the Vester guitars), N = Nineties (1990s), the first number following the serial number prefix is the year.
Fender was also losing sales in Japan to Japanese guitar brands such as Tōkai, Greco and Fernandes and the establishment of Fender Japan would benefit Fender sales in Japan, as well as overseas.