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Omission bias under risks and Japanese companies stagnation in emerging markets: Managers f information gaps between head office and local office

Author

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  • Noriko Fujita

    (Graduate School of Economics, Osaka University)

Abstract

This paper analyse the background of stagnation in the emerging market by Japanese companies. From the case study of the global strategy of Kokuyo Co.,Ltd. and questionnaires and interview surveys for Japanese companies, I found the possibility that managers f omission bias of head office prohibited decision making especially in situations where risks are strongly recognized. Resource allocation are required in noncontiguous market, but managers f omission bias prohibit entering innovation spiral through glearning by doing h. It is important to create a system with conscious of the bias elimination based on the decision theory.

Suggested Citation

  • Noriko Fujita, 2017. "Omission bias under risks and Japanese companies stagnation in emerging markets: Managers f information gaps between head office and local office," Discussion Papers in Economics and Business 17-24, Osaka University, Graduate School of Economics.
  • Handle: RePEc:osk:wpaper:1724
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    File URL: http://www2.econ.osaka-u.ac.jp/library/global/dp/1724.pdf
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    More about this item

    Keywords

    emerging market strategy; decision-making; omission bias; Japanese enterprises;
    All these keywords.

    JEL classification:

    • M16 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - International Business Administration
    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing

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