We investigate possible reasons for voluntary delistings by U.S. firms from the Tokyo Stock Exchange from 1982 to 2005. We find that the small shareholder base, as measured by low turnover, for U.S. stocks in Japan helps to explain the voluntary foreign delistings. This finding is consistent,...

While shareholder wealth maximization is accepted by finance theoreticians as the financial goal of the firm, the implementation of this goal is not simple. There can be significant economic impacts of using an alternative goal such as return on investment (ROI) maximization instead of net...