2015 年 22 巻 p. 303-316
As Japanese stock prices recover from global financial meltdown, more investors - notably institutional investors returning to stock markets after the Lehman Shock - are demanding to improve the governance of Japanese corporations and call for adopting the Anglo-American model of shareholder primacy. Apparently motivated by their outcries, the Abe administration seems to have expressed support for Anglo-American style of governance without substantive discussion of the merits and deficiencies of Japanese corporate governance. Unlike Anglo-American model with its short-termism, Japan's governance model is founded on the principle of long-term corporate sustainability. This paper discusses both governance models and suggest that Japan's type can even be future world model. It argues that Anglo-American type governance is unnecessary and detrimental to Japanese corporations. It advocates the need to establish a new governance model based on Japan's "Audit & Supervisory Board" system. The paper concludes by offering recommendations that seem feasible in the author's experience as a member of the above board.