Journal ArticleDOI
Stewardship or Agency? A Social Embeddedness Reconciliation of Conduct and Performance in Public Family Businesses
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This paper argues that both these views have application but under different circumstances, determined in part by the degree to which the firm and its executive actors are embedded within the family and thus identify with its interests.Abstract:
Two contradictory perspectives of family business conduct and performance are prominent in the literature. The stewardship perspective argues that family business owners and managers will act as farsighted stewards of their companies, investing generously in the business to enhance value for all stakeholders. By contrast, the agency and behavioral agency perspectives maintain that major family owners, in catering to family self-interest, will underinvest in the firm, avoid risk, and extract resources. This paper argues that both these views have application but under different circumstances, determined in part by the degree to which the firm and its executive actors are embedded within the family and thus identify with its interests. Stewardship behavior will be less common, and agency behavior will be more common the greater the number of family directors, officers, generations, and votes, and the more executives are susceptible to family influence. These findings are supported among Fortune 1000 firms, as well as among the subsample of those firms that are family businesses.read more
Citations
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Journal ArticleDOI
Relational capital in lending relationships: evidence from European family firms
TL;DR: The authors investigated the role of family CEOs' relational capital and non-family CEOs' managerial skills in the context of bank relationships for a large sample of small and medium-sized European firms.
Journal ArticleDOI
Family firm internationalization: Past research and an agenda for the future
Jean-Luc Arregle,Francesco Chirico,Francesco Chirico,Liena Kano,Sumit K. Kundu,Antonio Majocchi,William S. Schulze +6 more
TL;DR: A comprehensive overview of family firm internationalization research can be found in this paper, where the authors propose a research agenda that advocates a cross-disciplinary, multi-theoretic, and cross-level approach to studying family firms internationalization.
Journal ArticleDOI
The role of cognitive appraisal and emotions of family members in the family business system
Colleen Bee,Donald O. Neubaum +1 more
TL;DR: In this article, the authors explore the process of discrete emotional response and the factors that elicit emotions of family members in the context of the family business system and identify the consequences of discrete emotions.
Journal ArticleDOI
Successor Team Dynamics in Family Firms
TL;DR: In a qualitative study of 19 family businesses, this paper examined the dynamics of successor teams, using insights from the family dynamics and succession literature and teams and conflict theory in family business, and identified two major successor team performance outcomes, a positive track leading to team commitment and a negative track resulting in dissolution of the team and potentially the family firm.
Journal ArticleDOI
Impact of Outsiders on Firm Performance over Different Generations of Family-Owned SMEs
TL;DR: From the perspective of agency, resource-based view, and resource-dependence theories, the impact of the presence of outside directors on firm performance in family small and medium-size businesses was explored in this paper.
References
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TL;DR: In this article, the authors draw on recent progress in the theory of property rights, agency, and finance to develop a theory of ownership structure for the firm, which casts new light on and has implications for a variety of issues in the professional and popular literature.
Journal ArticleDOI
The Strength of Weak Ties
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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.
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The iron cage revisited institutional isomorphism and collective rationality in organizational fields
Paul DiMaggio,Walter W. Powell +1 more
TL;DR: In this paper, the authors argue that rational actors make their organizations increasingly similar as they try to change them, and describe three isomorphic processes-coercive, mimetic, and normative.
Journal ArticleDOI
Prospect theory: analysis of decision under risk
Daniel Kahneman,Amos Tversky +1 more
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