Journal ArticleDOI
Diversification Decisions in Family‐Controlled Firms
Reads0
Chats0
TLDR
In this paper, the authors examine diversification decisions of family firms and suggest that on average family firms diversify less both domestically and internationally than non-family firms, and when they do diversify, family firms tend to opt for domestic rather than international diversification, and those that go the latter route prefer to choose regions that are "culturally close".Abstract:
This study examines diversification decisions of family firms and suggests that on average family firms diversify less both domestically and internationally than non-family firms. When they do diversify, family firms tend to opt for domestic rather than international diversification, and those that go the latter route prefer to choose regions that are ‘culturally close’. Lastly, we find that family firms are more willing to diversify as business risk increases. The hypotheses are tested using a sample of 360 firms, 160 of them being family-controlled and the rest (200) non-family-controlled.read more
Citations
More filters
Journal ArticleDOI
Socioemotional Wealth in Family Firms Theoretical Dimensions, Assessment Approaches, and Agenda for Future Research
TL;DR: In this article, the authors make the case for the socioemotional wealth (SEW) approach as the potential dominant paradigm in the family business field and argue that SEW is the most important differentiator of the family firm as a unique entity and helps explain why family firms behave distinctively.
Journal ArticleDOI
The Bind that Ties: Socioemotional Wealth Preservation in Family Firms
TL;DR: In this paper, the authors examine how family firms differ from non-family firms along five broad categories of managerial decisions, including management processes, firm strategies, corporate governance, stakeholder relations and business venturing.
Journal ArticleDOI
Socioemotional Wealth and Corporate Responses to Institutional Pressures: Do Family-Controlled Firms Pollute Less?:
TL;DR: In this article, the authors compared the environmental performance of family and non-family public corporations between 1998 and 2002, using a sample of 194 U.S. firms required to report their emissions.
Journal ArticleDOI
Variations in R&D Investments of Family and Nonfamily Firms: Behavioral Agency and Myopic Loss Aversion Perspectives
TL;DR: The behavioral agency model suggests that to preserve socioemotional wealth, loss-averse family firms usually invest less in R&D than non-family firms as discussed by the authors, however, behavioral agency models predictions a...
Journal ArticleDOI
Family Control and Family Firm Valuation by Family CEOs: The Importance of Intentions for Transgenerational Control
TL;DR: It is hypothesized that socioemotional wealth increases with the extent of current control, duration of control, and intentions for transgenerational control, thus adding to the price at which owners would be willing to sell their firms to nonfamily buyers.
References
More filters
Book ChapterDOI
Prospect theory: an analysis of decision under risk
Daniel Kahneman,Amos Tversky +1 more
TL;DR: In this paper, the authors present a critique of expected utility theory as a descriptive model of decision making under risk, and develop an alternative model, called prospect theory, in which value is assigned to gains and losses rather than to final assets and in which probabilities are replaced by decision weights.
Journal ArticleDOI
Prospect theory: analysis of decision under risk
Daniel Kahneman,Amos Tversky +1 more
Book
Culture′s Consequences: International Differences in Work-Related Values
TL;DR: In his book Culture's Consequences, Geert Hofstede proposed four dimensions on which the differences among national cultures can be understood: Individualism, Power Distance, Uncertainty Avoidance and Masculinity as mentioned in this paper.
Journal ArticleDOI
Capital asset prices: a theory of market equilibrium under conditions of risk*
TL;DR: In this paper, the authors present a body of positive microeconomic theory dealing with conditions of risk, which can be used to predict the behavior of capital marcets under certain conditions.
Posted Content
A Survey of Corporate Governance
TL;DR: The authors surveys research on corporate governance, with special attention to the importance of legal protection of investors and of ownership concentration in corporate governance systems around the world, and presents a survey of the literature.
Related Papers (5)
Socioemotional Wealth in Family Firms Theoretical Dimensions, Assessment Approaches, and Agenda for Future Research
Founding-Family Ownership and Firm Performance: Evidence from the S&P 500
Ronald C. Anderson,David M. Reeb +1 more