Ranking hierarchy and rank order tournament

Research output: Contribution to journalArticle

2 Citations (Scopus)

Abstract

This paper examines the relationship between pay structure and the pattern of promotion within Japanese companies, with particular emphasis on the pay gap between employees in adjacent ranks in the hierarchy; i.e., between Bucho (division manager) and Kacho (subdivision manager). One of the most important contributions of this paper, which examined data from a national survey, is that we use tournament theory to analyse pay gaps between employees in Japan, showing that there is a negative relationship between the pay gap and the possibility for promotion. In addition, the pay gap becomes larger as an employee goes up the hierarchy.

Original languageEnglish
Pages (from-to)51-63
Number of pages13
JournalHitotsubashi Journal of Economics
Volume42
Issue number1
Publication statusPublished - 2001 Jun
Externally publishedYes

Fingerprint

Employees
Ranking
Rank-order tournaments
Managers
Japan
Tournament theory
Pay structures

Keywords

  • Japan
  • Tournament
  • Wage

ASJC Scopus subject areas

  • Business, Management and Accounting(all)
  • Economics and Econometrics

Cite this

Ranking hierarchy and rank order tournament. / Kubo, Katsuyuki.

In: Hitotsubashi Journal of Economics, Vol. 42, No. 1, 06.2001, p. 51-63.

Research output: Contribution to journalArticle

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