It has long been said that the Japanese corporate governance does not pay sufficient attention to shareholders as the owners of the corporation. An yet, despite this seeming lack of shareholder ownership, Japanese firms have performed quite well until recently. This paper seeks to solve this...

The simple view of joint ventures and venture businesses is that both partners will cooperate to maximize their equity value. In reality, however, there is no guaranty that each partner always behaves to maximize the value of the equity, because partners may have conflicting interests. The...