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Foreign Executives Are Getting Spooked About Jobs in Japan

  • Ongoing detention making recruitment of foreigners difficult
  • Case playing out as demand grows for foreign board directors
Carlos Ghosn
Carlos GhosnPhotographer: Misha Friedman/Bloomberg
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The stunning arrest, indictments and long incarceration of former Nissan Motor Co. Chief Executive Officer Carlos Ghosn have given pause to foreign executives considering taking on senior jobs at Japanese companies.

As Ghosn enters his fourth month in jail and awaits a trial still several months away, the imprisonment of the Japanese business world’s most high-profile foreigner may stymie the nation’s efforts to diversify its corporate ranks with overseas talent, according to management experts. Foreign executives may think twice about accepting positions until they see how his case plays out and whether it leads to stricter compliance rules.