2025 Volume 22 Pages 1-38
This study analyzes the strategic actions of two entrepreneurs, Takeo Miyoshi and Yasuo Goto, who led Yasuda Fire & Marine Insurance Company (now Sompo Holdings, Inc.) in Japan’s postwar non-life insurance industry. Miyoshi, operating in the highly uncertain environment of Japan’s motorization era, spearheaded a shift into automobile insurance to mitigate social damage from traffic accidents. His decision-making process aligns with effectuation theory, as he leveraged limited resources while controlling uncertainty, successfully viewing risk as an opportunity rather than a threat. Conversely, Goto adopted a CSV (creating shared value) approach, implementing strategies that balanced economic and social value creation. He advanced the company’s long-term growth through diversification of financial services, corporate social responsibility (CSR) initiatives, and environmental programs. These strategic actions are believed to have enhanced the insurer’s corporate value. This paper demonstrates the utility of both effectuation theory and CSV in understanding entrepreneurial strategy, while also proposing a novel interpretive model that integrates both frameworks for a more comprehensive analysis of corporate leadership in uncertain environments.
