TY - JOUR

T1 - Does Growth Represent Chimera or Bellerophon for a Family Business?

T2 - The Role of Entrepreneurial Orientation and Family Influence Nuances

AU - Campopiano, G.

AU - Brumana, M.

AU - Minola, T.

AU - Cassia, L.

N1 - This is the peer reviewed version of the following article:Campopiano, G., Brumana, M., Minola, T., and Cassia, L. ( 2019) Does Growth Represent Chimera or Bellerophon for a Family Business? The Role of Entrepreneurial Orientation and Family Influence Nuances. European Management Review 17 (3), https://doi.org/10.1111/emre.12351 which has been published in final form at https://onlinelibrary.wiley.com/doi/full/10.1111/emre.12351 This article may be used for non-commercial purposes in accordance With Wiley Terms and Conditions for self-archiving.

PY - 2020/11/25

Y1 - 2020/11/25

N2 - Growth brings lifeblood to sustain longevity across generation, but also critical challenges for family business. Relying on the behavioral agency model and its assumptions on risk-bearing in family firms, we discuss and test the effect of family involvement in the top management team (TMT) on family business growth. We use an input-behavior-outcome framework based on the mediating role of entrepreneurial orientation. We also consider the moderating role of different ownership structures on the relationship between family involvement in the TMT on entrepreneurial orientation (EO). Results based on survey data collected by the STEP research consortium support the hypothesized negative effect of family involvement in the TMT on growth, fully mediated by EO. We also find that the presence of passive family members as majority shareholders and multigenerational involvement in ownership are important contingencies of the direct effect. Our evidence points to the fact that risk-bearing in family firms is not just dependent on the degree of family involvement in management, but also on the interests of different types of shareholders. We show that the at-times stylized negative traits of family firms are not universally valid, and that a comprehensive view of family influence over the business is needed to ascertain whether and to what extent these firms actually achieve growth. © 2019 European Academy of Management

AB - Growth brings lifeblood to sustain longevity across generation, but also critical challenges for family business. Relying on the behavioral agency model and its assumptions on risk-bearing in family firms, we discuss and test the effect of family involvement in the top management team (TMT) on family business growth. We use an input-behavior-outcome framework based on the mediating role of entrepreneurial orientation. We also consider the moderating role of different ownership structures on the relationship between family involvement in the TMT on entrepreneurial orientation (EO). Results based on survey data collected by the STEP research consortium support the hypothesized negative effect of family involvement in the TMT on growth, fully mediated by EO. We also find that the presence of passive family members as majority shareholders and multigenerational involvement in ownership are important contingencies of the direct effect. Our evidence points to the fact that risk-bearing in family firms is not just dependent on the degree of family involvement in management, but also on the interests of different types of shareholders. We show that the at-times stylized negative traits of family firms are not universally valid, and that a comprehensive view of family influence over the business is needed to ascertain whether and to what extent these firms actually achieve growth. © 2019 European Academy of Management

KW - behavioral agency model

KW - entrepreneurial orientation

KW - Family business

KW - growth

KW - risk-bearing

U2 - 10.1111/emre.12351

DO - 10.1111/emre.12351

M3 - Journal article

VL - 17

SP - 765

EP - 783

JO - European Management Review

JF - European Management Review

SN - 1740-4754

IS - 3

ER -