دانلود رایگان مقاله انگلیسی نقش حاکمیت شرکتی در شرکت های بدون فهرست ژاپنی - الزویر 2018

Abstract

The purpose of this paper is to examine the effects of corporate governance on the performance of Japanese unlisted companies from 1997 to 2002, when the problem of nonperforming loans became serious. Using data of unlisted companies, we examine to what extent the ownership structure has a significant impact on firm’s performance. When estimating the determinants of Tobin’s q, we find that the ownership structure has a significant influence on the performance of each unlisted company. However, the impact was totally different between companies with good performance and bad performance. In particular, the increase in the shareholding ratio of a specific individual or a parent company worked positively for companies with good performance, but it worked negatively for companies with poor performance. The results suggest that the distorted governance structure in unlisted companies, which had worked well during the bubble economy, may have significantly restricted their recovery under prolonged recession in Japan.

9. Conclusion

In this paper, we examined what effects the governance structure (stock ownership structure) had on the performance of Japanese unlisted companies in the sample period from 1997 to 2002, when the problem of non-performing loans became serious. Estimating the determinants of Tobin’s q (present discounted value of after-tax profits) of private companies, we found that the ownership structure of private companies has a significant influence on the performance of each unlisted company, in addition to standard financial variables. However, the impact was totally different between companies with good performance and bad performance. In particular, the rise in the shareholding ratio of a specific individual shareholder or a parent company worked positively for companies with good performance, but it worked negatively for companies with poor performance.

The results of this paper imply that the concentration of stock ownership in unlisted companies tends to have a rather favorable effect, as long as companies are constantly growing. However, once corporate management begins to stumble, it is highly likely that the distorted governance structure will cause further lowering of the performance. In Japan, after the crash of speculative bubble in the early 1990s, the corporate performance of Japanese unlisted companies deteriorated substantially. It is likely that the governance structure functioned to further lower the performance when the Japanese economy was under prolonged recession.