Deutsches Institut für Japanstudien nav lang search
Deutsches Institut für Japanstudien


Deutsches Institut für Japanstudien
Jochi Kioizaka Bldg. 2F
7-1 Kioicho, Chiyoda-ku
Tokyo 102-0094, Japan
Tel: 03 – 3222 5198, Fax: 03 – 3222 5420


Registration Info

The presentation will be given in English. The DIJ Business & Economics Study Group is intended as a forum for young scholars and Ph.D. candidates in the field of Business and Economics Studies. Everybody is welcome to attend, but kindly asked to register with

Implementation and Internalization of Merit-based Compensation and Promotion Practices: Foreign Subsidiaries in Japan

August 21, 2007 / 6.30 P.M.

Vesa Peltokorpi, HEC School of Management, Paris

The long economic downturn has influenced labor management practices in Japan. As a response to changes in institutional environment, an increasing number of Japanese and foreign companies have sought to implement labor management practices that are in contrast with traditional seniority-based principles. Using interview data, this study describes the implementation of merit-based compensation and promotion practices in 54 Nordic subsidiaries in Japan. The interviews show that the merit-based practices have faced persistent resistance and that the seniority-based practices have proved robust especially in old subsidiaries. Implications for practice are provided.

Short CV: Vesa Peltokorpi is Assistant Professor of human resource management at HEC School of Management in Paris.