Excess Capacity and Difficulty of Exit: Evidence from Japan’s Electronics Industry by Sumio Saruyama
English | PDF,EPUB | 2021 | 112 Pages | ISBN : 9811648999 | 4.2 MB
This book provides cases and analyses of causes and consequences of difficulty in downsizing and exiting in the electronics industry during the “two lost decades” in Japan. Because of excess capacity in the industry, many electronics companies have been required for downsizing and exit since the 1990s. Exploiting corporate financial and segment datasets, it shows empirical evidence of misallocation of internal funds to “zombie” segments—intra-firm businesses suffering losses consecutively.