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Productivity and survival of family firms in Japan

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  • Morikawa, Masayuki

Abstract

Using data on a large number of Japanese firms, this paper empirically analyzes the relationship between family ownership of firms and productivity growth and survival. The results show that the annual productivity growth rate of family firms is approximately 2% slower than that of non-family firms. Because family firms attach importance to firm survival as a managerial objective, their probability of survival over a six-year period is 5–10% higher than that of non-family firms. The difference in performance between family and non-family firms is found to be limited to unlisted firms.

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  • Morikawa, Masayuki, 2013. "Productivity and survival of family firms in Japan," Journal of Economics and Business, Elsevier, vol. 70(C), pages 111-125.
    • Handle: RePEc:eee:jebusi:v:70:y:2013:i:c:p:111-125
    DOI: 10.1016/j.jeconbus.2012.11.001
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    2. Nigel Driffield & Jun Du & Jan Godsell & Mark Hart & Katiuscia Lavoratori & Steven Roper & Irina Surdu & Wanrong Zhang, 2021. "Understanding productivity:Organisational Capital perspectives," Working Papers 013, The Productivity Institute.
    3. Masayuki Morikawa, 2014. "Innovation in the Service Sector and the Role of Patents and Trade Secrets," CAMA Working Papers 2014-48, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
    4. MORIKAWA Masayuki, 2014. "What Types of Company Have Female and Foreign Directors?," Discussion papers 14032, Research Institute of Economy, Trade and Industry (RIETI).
    5. Masayuki Morikawa, 2014. "What Types of Companies Have Female and Foreign Directors?," AJRC Working Papers 1404, Australia-Japan Research Centre, Crawford School of Public Policy, The Australian National University.
    6. Sana Ullah & Muhammad Tariq Majeed & Muhammad Hafeez, 2019. "Education, experience, social network and firm survival: the case of the electrical fittings cluster in Sargodha, Pakistan," DECISION: Official Journal of the Indian Institute of Management Calcutta, Springer;Indian Institute of Management Calcutta, vol. 46(3), pages 267-278, September.
    7. Sana Ullah & Babur Wasim Arif & Muhammad Tariq Majeed, 2019. "The Determinants of Firm Survival among Small Cluster Firms," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 24(1), pages 131-145, Jan-June.
    8. Uchida, Hirofumi & Yamada, Kazuo & Zazzaro, Alberto, 2023. "Management innovations in family firms after CEO successions: Evidence from Japanese SMEs," Japan and the World Economy, Elsevier, vol. 66(C).
    9. Basco, Rodrigo, 2015. "Family business and regional development—A theoretical model of regional familiness," Journal of Family Business Strategy, Elsevier, vol. 6(4), pages 259-271.
    10. Ismaila A. Bolarinwa & Vincent A. Michael, 2020. "Survival Modelling of Tuberculosis Data-A Case Study of Federal Medical Centre, Bida, Nigeria," Modern Applied Science, Canadian Center of Science and Education, vol. 14(4), pages 1-99, April.
    11. Morikawa, Masayuki, 2016. "What types of companies have female directors? Evidence from Japan," Japan and the World Economy, Elsevier, vol. 37, pages 1-7.
    12. Kettunen, Jukka & Martikainen, Minna & Voulgaris, Georgios, 2021. "Employment policies in private loss firms: Return to profitability and the role of family CEOs," Journal of Business Research, Elsevier, vol. 135(C), pages 373-390.
    13. Mehdi Rasouli Ghahroudi & Yasuo Hoshino & Ehsan Fakhraei, 2019. "Ownership Structure, Capital Structure, and Firm Survival," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 11(11), pages 1-19, November.
    14. MORIKAWA Masayuki, 2013. "Business Restructuring of Japanese Firms: Structural changes during the "Lost Decades"," Discussion papers 13083, Research Institute of Economy, Trade and Industry (RIETI).

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    More about this item

    Keywords

    Family firm; Ownership; Productivity; Survival;
    All these keywords.

    JEL classification:

    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • M21 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - Business Economics

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