Institute of Innovation Research
Naka 2-1, Kunitachi
Tokyo, Japan 186-8603
NBER Working Papers and Publications
|June 2008||Determinants of Firm Boundaries: Empirical Analysis of the Japanese Auto Industry from 1984 to 2002|
with Akira Takeishi, Yoshihisa Noro
in Organizational Innovation and Firm Performance, George Baker, Takeo Hoshi, Hideshi Itoh, and Sadao Nagaoka, organizers
|April 2007||Determinants of Firm Boundaries: Empirical Analysis of the Japanese Auto Industry from 1984 to 2002|
with Akira Takeishi, Yoshihisa Noro: w13063
We have assessed the determinants of the choice of integration, relational contracting (keiretsu sourcing) and market sourcing by seven Japanese automobile manufacturers (OEMs) with respect to 54 components in light of contract economics. Our major findings are the following. First, the specificity and interdependency of a component significantly promotes vertical integration over keiretsu and keiretsu over market, consistent with transaction cost economics. Second, interdependency is a more important consideration for the former choice than for the latter choice, and the reverse is the case for specificity. This suggests that the hold-up risk due to specific investment can be often effectively controlled by a relational contracting based on keiretsu sourcing, while accommodating non-contr...
Published: Nagaoka, Sadao & Takeishi, Akira & Noro, Yoshihisa, 2008. "Determinants of firm boundaries: Empirical analysis of the Japanese auto industry from 1984 to 2002," Journal of the Japanese and International Economies, Elsevier, vol. 22(2), pages 187-206, June. citation courtesy of
|January 2000||International Trade Aspects of Competition Policy|
in Deregulation and Interdependence in the Asia-Pacific Region, NBER-EASE Volume 8, Takatoshi Ito and Anne O. Krueger, editors
|September 1998||International Trade Aspects of Competition Policy|
Recently competition policy has become an important trade policy issue, since many policy makers now see competition policy as an important instrument to secure market access' to foreign markets. This paper analyzes this issue both from a theoretical point of view and from the review of the recent development of the Japanese competition policy. While voluntary trade cartels have a strongly negative international spillover, export cartels or international cartels do not constrain market access,' and export restraints were often used to ameliorate trade frictions. Moreover, domestic cartels often have a positive international spillover on the export from foreign countries. Thus, the recent focus on competition policy from market access' concern is misleading. The Japanese government ha...