Japan's holding company puzzle

2014 Fiscal Year Final Research Report

• Project/Area Number: 24530421
• Research Category: Grant-in-Aid for Scientific Research (C)
• Allocation Type: Multi-year Fund
• Section: 一般
• Research Field: Business administration
• Research Institution: Aoyama Gakuin University
• Principal Investigator: USHIJIMA Tatsuo 青山学院大学, 国際マネジメント研究科, 教授 (80365014)
• Project Period (FY): 2012-04-01 – 2015-03-31
• Keywords: 持株会社 / 企業価値 / 分社化 / 分権化 / 多角化

Outline of Final Research Achievements

One of major changes in the organization of Japanese firms in the present century is that firms with a holding-company structure increased substantially. This study investigates the causes and consequences of this change, with particular attention to the effect on firm value. It is found that decentralization through the parent-subsidiary structure is a prime motive for the adoption of the holding-company structure. It is also found that the holding-company structure on average fails to increase firm value. Firms that have adopted a holding-company structure on average lose 10% in value relative to comparable firms that have not adopted the structure.

Free Research Field

経営戦略、経営財務、企業の経済学