@article{967b0be0dfe847908758659c5c908b4e,
title = "What drives the profitability of Japanese multi-business corporations? A variance components analysis",
abstract = "This article decomposes the business-level profit rate of Japanese multi-business corporations by performing a variance components analysis on a large sample of publicly traded non-financial firms in 1998-2003. Consistent with US evidence, estimation results demonstrate that profitability is predominantly determined by business-level factors, not corporate-level ones, suggesting that a typical multi-business corporation in Japan is a combination of relatively distinct businesses in terms of profit.",
keywords = "Diversification, Japan, Profitability, Variance component analysis",
author = "Yoshitaka Fukui and Tatsuo Ushijima",
note = "Funding Information: We are grateful to comments from an anonymous referee, Takeo Hoshi (the editor), and workshop/conference participants at the University of Tokyo, Aoyama Gakuin University, and Academy of Management Annual Meeting (Philadelphia). Yoshitaka Fukui acknowledges financial support from KAKENHI (20653026). Remaining errors are ours. ",
year = "2011",
month = jun,
doi = "10.1016/j.jjie.2011.02.002",
language = "English",
volume = "25",
pages = "1--11",
journal = "Journal of the Japanese and International Economies",
issn = "0889-1583",
publisher = "Academic Press Inc.",
number = "2",
}