IDEAS home Printed from https://ideas.repec.org/p/hit/piecis/424.html
   My bibliography  Save this paper

Top Executive Turnover in Japanese Non-listed Firms: Causes and Consequences

Author

Listed:
  • Uesugi, Iichiro
  • 植杉, 威一郎
  • ウエスギ, イイチロウ
  • Saito, Yukiko
  • 齊藤, 有希子
  • サイトウ, ユキコ

Abstract

We examine the pattern of top executive turnover among small non-listed businesses in Japan using a unique panel data set of about 25,000 firms for 2001-2007 and find the following. First, the likelihood of a change in top executive among non-listed firms is independent of their ex-ante performance, especially when the firms are owned by the top executives themselves or by their relatives. Second, non-listed firms which experienced a top executive turnover saw an improvement in ex-post performance relative to firms without turnover. The extent of the improvement is similar between non-listed firms and listed firms. All of the above results indicate that underperforming non-listed firms do not face disciplinary pressure to replace their executive, but that once new top executives are in place, they exert high managerial effort and thus significantly improve their firm's profitability.

Suggested Citation

  • Uesugi, Iichiro & 植杉, 威一郎 & ウエスギ, イイチロウ & Saito, Yukiko & 齊藤, 有希子 & サイトウ, ユキコ, 2009. "Top Executive Turnover in Japanese Non-listed Firms: Causes and Consequences," PIE/CIS Discussion Paper 424, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.
    • Handle: RePEc:hit:piecis:424
    Note: 3/14/2009
    as

    Download full text from publisher

    File URL: https://hermes-ir.lib.hit-u.ac.jp/hermes/ir/re/17299/pie_dp424.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Tsuruta, Daisuke, 2021. "Lack of successors, firm default, and the performance of small businesses," Japan and the World Economy, Elsevier, vol. 57(C).
    2. Tsuruta, Daisuke, 2020. "Japan's elderly small business managers: Performance and succession," Journal of Asian Economics, Elsevier, vol. 66(C).

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hit:piecis:424. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Digital Resources Section, Hitotsubashi University Library (email available below). General contact details of provider: https://edirc.repec.org/data/cihitjp.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.