(3) Diversification Strategies and Technical Efficiency of Private Railway Companies in Japan: An Empirical Analysis

摘要

The purpose of this study is to investigate the effect of diversification strategies of Japanese private railway companies on technical efficiency, which represents the intermediate transformation ability from the firm’s assets or resources to products, focusing on the extent of diversification strategies, its context and business organisation governing group companies and based on RBV and dynamic capabilities. A stochastic multiple output distance function with an inefficiency effect is defined to evaluate technical efficiency. The findings show that technical efficiency is positively influenced by deploying real estate business and holding company system while the extent of diversification negatively affects it. Based on the findings of empirical analysis, strategies for diversified private railway companies that is to diversify into the businesses which enable to utilise know-how or physical assets of transportation business and adopt holding company system to manage assets or resources effectively are proposed.