| Downsizing and the Deinstitutionalization of the Social Contract in Japan |
| | Ahmadjian, Christina Linn | Columbia U. | cla15@columbia.edu | (212)-854-4417 |
| | Robinson, Patricia | New York U. | hmerchan@sfu.ca | (604) 291-4491 |
| | This paper examines downsizing in Japan as an example of deinstitutionalizaion of a strongly institutionalized practice: long-term employment. |
| | Keywords: institutional theory; Japan; downsizing |
| Bank-Firm Cross-Shareholding: Is It Really Winding Down? -- Recent Evidence from Japan |
| | Scher, Mark J. | United Nations Department of Economic and Social Affairs | scher@un.org | (212)-963-8018 |
| | This paper examines the nature and purpose of cross-shareholding relationships between Japanese banks and their client firms. Based upon both the author's interviews with Japanese bankers and firm-side data collected by Japanese research teams, the paper questions recent reports which allege that cross-shareholding is winding down in Japan and examines the consequences of cross-shareholding on Japan's banking system. |
| | Keywords: Japan; bank; shareholding |
| Comparative Efficiency of US and Japanese Automakers: A Stochastic Frontier Production Function Approach |
| | Dhawan, Rajeev | U. of California, Los Angeles | rajeev.dhawan@anderson.ucla.edu | (310)-206-2529 |
| | Lieberman, Marvin B. | U. of California, Los Angeles | marvin.lieberman@anderson.ucla.edu | (310)-206-7665 |
| | We use the methodology of stochastic frontier production functions (SFPF) to assess the productivity performance of eight Japanese auto producers and the US Big-3 from the mid-1960s through the 1990s. Our model, based on the panel data approach of Battese and Coelli (1995), allows for estimation of firm-specific effects and tests of hypotheses regarding the sources of differences in efficiency. We identify shifts in the efficiency frontier and in the relative positions of competitors. Several explanatory factors (such as the level of work-in-process inventory, reflecting successful adoption of "just-in-time" manufacturing practices) are shown to be linked to firms' efficiency. The findings demonstrate that the SFPF model provides a useful tool for comparing and evaluating the performance of firms in different countries. |
| | Keywords: efficiency; autos; US/Japan |
| The Service Paradox: Structure and Evolution of Japanese Subsidiaries |
| | Bouquet, Cyril Daniel | U. of Western Ontario | cbouquet@ivey.uwo.ca | (519) 673-1776 |
| | Do the unique characteristics (intangibility, inseparability and idiosyncrasy) of global service firms affect the structure and evolution of their foreign subsidiaries? Drawing on a large sample of Japanese MNCs providing longitudinal information on 922 foreign affiliates established in Europe before 1992, we show that service firms are more likely than manufacturing businesses to choose wholly owned subsidiaries rather than joint-ventures and acquisitions, place a greater reliance on expatriates, and follow different subsidiary evolution patterns. Furthermore, these patterns are found to be positively associated with the degree of intangibility, inseparability and idiosyncrasy of the industry. These observations suggest the existence of a 'service paradox': while global service firms need minimal physical commitment to be operational on a foreign soil, their structure and post-entry evolution are heavily dependent on a set of 'invisible assets' (Itami, 1987) which are difficult to transfer and manage. |
| | Keywords: Foreign Subsidiaries; Global Service Firms; Subsidiary Evolution |