Rights statement: This is an Accepted Manuscript of an article published by Taylor & Francis in Journal of Small Business Management on 04/01/2020, available online: https://www.tandfonline.com/doi/abs/10.1111/jsbm.12535
Accepted author manuscript, 926 KB, PDF document
Available under license: CC BY-NC: Creative Commons Attribution-NonCommercial 4.0 International License
Final published version
Research output: Contribution to Journal/Magazine › Journal article › peer-review
| <mark>Journal publication date</mark> | 1/04/2020 |
|---|---|
| <mark>Journal</mark> | Journal of Small Business Management |
| Issue number | Suppl. 2 |
| Volume | 57 |
| Number of pages | 21 |
| Pages (from-to) | 637-657 |
| Publication Status | Published |
| Early online date | 4/01/20 |
| <mark>Original language</mark> | English |
Drawing on faultlines and challenging the assumption that family board members form a homogenous subgroup, we hypothesize that the distinction between executive and non-executive family board members can create faultlines that affect firm performance. We propose that the discrepancy between results and goals can activate and exacerbate faultlines. Using a sample of 421 family small and medium-sized enterprises (SMEs), we find a U-shaped relationship between the ratio of family executive board members and firm performance showing the consequences of relationship-based and task-related faultlines. Moreover, we find that the U-shaped relationship occurs when firms perceive that they under-achieve their objectives, whereas a reverse J-shaped relationship appears when firms over-achieve their objectives.