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Socially responsible investment in Japan: Its mechanism and drivers


  • Kyoko Sakuma
  • Céline Louche


The paper explores the emergence and development of socially responsible investment (SRI) in Japan. SRI is a recent field in Japan. It is not clear which model it will follow: the European, American or its own model. Through the analysis of the historical roots of SRI, the key actors and motivations that have contributed to its diffusion, the paper provides explorative grounds to sketch the translation mechanisms of SRI in Japan and offers insight into its future path. Based on primary and secondary sources of information, the paper shows that although SRI in Japan holds some similarities with the U.S. and especially with the European model, it remains unique. It highlights the importance of translation and re-interpretation in adopting a practice in a new context. SRI in Japan is still in a dynamic construction process. Although we expect it to develop further, it is difficult to depict its future shape and form. © 2008 Springer Science+Business Media B.V.

Suggested Citation

  • Kyoko Sakuma & Céline Louche, 2008. "Socially responsible investment in Japan: Its mechanism and drivers," ULB Institutional Repository 2013/205636, ULB -- Universite Libre de Bruxelles.
  • Handle: RePEc:ulb:ulbeco:2013/205636
    Note: SCOPUS: ar.j

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    References listed on IDEAS

    1. Céline Louche & Kyoko Sakuma, 2008. "Socially Responsible Investment in Japan: Its Mechanism and Drivers," Post-Print hal-01098061, HAL.
    2. Masahiko Aoki, 2013. "The Contingent Governance Of Teams: Analysis Of Institutional Complementarity," Chapters, in: Comparative Institutional Analysis, chapter 14, pages 230-249, Edward Elgar Publishing.
    3. Aris Solomon & Jill Solomon & Megumi Suto, 2004. "Can the UK Experience Provide Lessons for the Evolution of SRI in Japan?," Corporate Governance: An International Review, Wiley Blackwell, vol. 12(4), pages 552-566, October.
    4. Dewenter, Kathryn L., 2003. "The risk-sharing role of Japanese keiretsu business groups: evidence from restructuring in the 1990s," Japan and the World Economy, Elsevier, vol. 15(3), pages 261-274, August.
    5. Karen Benson & Timothy Brailsford & Jacquelyn Humphrey, 2006. "Do Socially Responsible Fund Managers Really Invest Differently?," Journal of Business Ethics, Springer, vol. 65(4), pages 337-357, June.
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    Cited by:

    1. Céline Louche & Kyoko Sakuma, 2008. "Socially Responsible Investment in Japan: Its Mechanism and Drivers," Post-Print hal-01098061, HAL.
    2. Jean-Pascal Gond & Eva Boxenbaum, 2013. "The Glocalization of Responsible Investment: Contextualization Work in France and Québec," Journal of Business Ethics, Springer, vol. 115(4), pages 707-721, July.
    3. Christel Dumas & Céline Louche, 2016. "Collective beliefs for responsible investment," Post-Print hal-01183744, HAL.
    4. Jean-Pascal Gond & Eva Boxenbaum, 2013. "The glocalization of responsible investment: Contextualization work in France and Quebec," Post-Print hal-00870436, HAL.
    5. Frédérique Déjean & Stéphanie Giamporcaro & Jean-Pascal Gond & Bernard Leca & Elise Penalva-Icher, 2013. "Mistaking an Emerging Market for a Social Movement? A Comment on Arjaliès’ Social-Movement Perspective on Socially Responsible Investment in France," Journal of Business Ethics, Springer, vol. 112(2), pages 205-212, January.
    6. Kasai, Katsuya, 2012. "A comparison of three mega bank groups’ strategies towards a low carbon economy focusing on activities of their securities companies," MPRA Paper 52239, University Library of Munich, Germany.
    7. Saiful Arefeen & Koji Shimada, 2020. "Performance and Resilience of Socially Responsible Investing (SRI) and Conventional Funds during Different Shocks in 2016: Evidence from Japan," Sustainability, MDPI, vol. 12(2), pages 1-20, January.
    8. Hannah Jun, 2016. "Corporate governance and the institutionalization of socially responsible investing (SRI) in Korea," Asia Pacific Business Review, Taylor & Francis Journals, vol. 22(3), pages 487-501, July.
    9. Gaurav Talan & Gagan Deep Sharma, 2019. "Doing Well by Doing Good: A Systematic Review and Research Agenda for Sustainable Investment," Sustainability, MDPI, vol. 11(2), pages 1-16, January.
    10. Maya Todeschini, 2011. "“Webs of Engagement”: Managerial Responsibility in a Japanese Company," Journal of Business Ethics, Springer, vol. 101(1), pages 45-59, March.
    11. Saheli Nath, 2021. "The Business of Virtue: Evidence from Socially Responsible Investing in Financial Markets," Journal of Business Ethics, Springer, vol. 169(1), pages 181-199, February.
    12. Orlando Gomes, 2020. "Optimal growth under socially responsible investment: a dynamic theoretical model of the trade-off between financial gains and emotional rewards," International Journal of Corporate Social Responsibility, Springer, vol. 5(1), pages 1-17, December.
    13. Guillermo Badía & Maria C. Cortez & Luis Ferruz, 2020. "Socially responsible investing worldwide: Do markets value corporate social responsibility?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(6), pages 2751-2764, November.
    14. Nakai, Miwa & Yamaguchi, Keiko & Takeuchi, Kenji, 2016. "Can SRI funds better resist global financial crisis? Evidence from Japan," International Review of Financial Analysis, Elsevier, vol. 48(C), pages 12-20.
    15. Diane-Laure Arjaliès, 2010. "A Social Movement Perspective on Finance: How Socially Responsible Investment Mattered," Journal of Business Ethics, Springer, vol. 92(1), pages 57-78, April.

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