Abstract
Based on the tenets of capital allocation systems therory, stewardship theory, and 'going concern' concept of business, institutional ownership is proposed to affect corporate productivity, both directly, in large Japanese corporations through a set of four firm-level choices: product/market development, R&D intensity, capital intensity, and leverage. Using data on 118 corporations drawn from five industry sectors in Japan, and applying a partial mediation technique, this study tests an integrated, causal model of the relationships among these variables. Results show mixed support for the model. No direct relationship between institutional ownership and productivity is observed. However, institutional ownership affects productivity indirectly through R&D intensity and leverage. Although product/market development and capital intensity also affect productivity, institutional ownership has no significant relationship with them.
| Original language | English |
|---|---|
| Pages (from-to) | 271-292 |
| Number of pages | 22 |
| Journal | Journal of Management Studies |
| Volume | 38 |
| Issue number | 2 |
| DOIs | |
| Publication status | Published - Mar 2001 |
| Externally published | Yes |
ASJC Scopus Subject Areas
- Business and International Management
- Strategy and Management
- Management of Technology and Innovation