This report is on a portion of the research in a crowded factory area in Tokyo conducted by the sociology department in the Tokyo University of Education from December 1953 to April 1954. The factories studied are primarily printing and bookbinding establishments which generally fall into the category of middle and small scale enterprises in Japan, while the industry has been recently attracting attentions by sociologists and economists who have made some studies but treated the problems horizontally and quantatively in most cases. That is why their conclusions are varied. The characteristics of the middle and small scale enterprise, especially in industry, are “subordination to big capital”, “industry lacking in the technical basis for the mass-production”, “dependecy on the personal abilities of its managers”, “more human factors in comparison with the materialized (verdlinglichten) big factories, ” “backwardness of lador relationships, ” etc. Apart from the question, in what degree these characteristics exist in reality, it is true that each of the factories with the above stated tendencies is functioning as a collectivity. The common element in the above theories is that small or middle enterprises are in a handicapped position relative to the big ones. Considering this point, they need strong internal unity and external flexibility as social groups to withstand the pressure of big enterprises. These requisites will naturally manifest themselves both in their inner group organization and in the external activities. Sociological study should aim at the study of these problems. In the actual research for this object of study, the qualitative understanding in essential rather than quantitative representation. The author was led to the case study both of enterprises and of workers. The characteristics of the bookbinding enterprises were set forth, then the conditions in the community which make it possible for them to survive, and their linkage to other enterprises. Thirldy, examples of six different types of (a) external activities and (b) internal organizations were considered. Lastly, eight qualitatively different cases of workers were described and analyzed. Its aim is to observe a phase of the worker's consciousness in order to understand the enterprises dynamically. <BR>The author's intention is limited on the presentation of the materials by the field work of the bookbinding trade and the methodological essay of the study of the enterprises.