ABSTRACT
When the dissolution of the USSR seemed to indicate the triumph of western economic systems, the phrase 'capitalism versus capitalism' was coined by Michel Albert to reflect a continuing conflict. The character of each capitalism is mainly decided by the nature of corporate governance, defined as the relationship between ownership and management. Historically, Britain would be quite different from the United States of America (USA), the paragon of managerial capitalism. The organizational hierarchy can influence corporate governance, just as corporate governance can affect the organizational hierarchy. To clarify the similarities and differences of corporate governance, the chapter surveys its historical development in Britain and Japan, simultaneously placing the USA and Germany in perspective. The US, historically at the vanguard of capitalism, is regarded as the exemplar of market control. Under this situation, top managers had autonomous power over decision-making, and organizational control coincided with prosperity.
