La gouvernance des entreprises au Japon: les causes de son dysfonctionnement

The current economic crisis of Japan may be attributed largely to the dysfunction of the corporate goverance system. The post-war break-up of Zaibatsu family trusts resulted in management control. The President has shielded himself from the discipline of the capital market through cross-shareholdings, cross-directorships and long-term business relations, in particular with the main bank. Internal and external mechanisms of control became inefficient. Up until the 80s the large discretionary power of the President assured shareholders a higher return on investment by international comparison. This management control backfired early 90s.