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The aim of this research is to study the moderating role of family management in the relationships between the intensity of research and development and the occurrence of continuous technological innovation and between the existence of technological innovation outcomes and long-term firm performance. The results show that family management reduces efficiency in the conversion of research and development expenses into technological innovation outcomes over time. Our findings also suggest that the influence of family management significantly contributes to improving the effect of the achievement of technological innovation on long-term performance.

Determining what factors influence firm performance constitutes an essential issue in both the management and the family firm research fields. This article, building on the resource-based view perspective, develops a mediation model that involves a unique intervening mechanism, namely, technological innovation efficiency (TI efficiency), with the potential to explain the inconsistencies found in prior work on the ways through which family involvement in management affects performance outcomes. Regression analyses utilizing a longitudinal sample of 1,118 Spanish private firms largely support the hypothesized mediating relationship, revealing that TI efficiency leads to richer firm performance in family firms with active family involvement in management. Overall, our findings help elucidate the black box of performance outcomes within family firms and make several contributions to theory and practice. JEL CLASSIFICATION L25; M12; O32

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Purpose There are currently two issues that generate growing interest among specialized scholars within the family business field: technological innovation (TI) and socioemotional wealth (SEW). While it is true that both topics are highly popular among researchers, the joint study of both perspectives is scarce. Thus, the purpose of this paper is to analyse the interrelationships between TI and SEW in the context of family firms. Design/methodology/approach This literature review systematically analyses the findings of 25 journal articles focusing on TI and SEW, published between 2012 and 2018. Findings The findings reveal an integrative approach, identifying different variables that relate TI and SEW. A conceptual framework is built in which these variables are incorporated into four categories (SEW, TI, moderating effects and performance). New lines of research emerge with the development of a conceptual model and the formulation of six propositions. Practical implications The conceptual framework can be useful as integrative summary of the factors that family business managers and directors should take into account to be successful in implementing innovative projects and strategies. Originality/value The study of TI from the SEW approach has emerged as a fruitful field of research in recent years, but the current knowledge of the role that SEW plays in family firms’ TI is still scarce. This paper contributes to the family business literature by offering a conceptual framework of the SEW–TI relationship and new research avenues that will provide a better comprehension for scholars and specialists for future investigations in the field.

This article examines value creation (VC) in the context of privately held family businesses using a value‐based management approach. Namely, this paper assesses the influence of five value drivers (operating profit margin, sales growth, income tax rate, investment rate, and leverage) on the VC of family firms, considering the moderating effect of socioemotional wealth (SEW). Evidence from a sample of 188 Spanish family firms indicates a positive moderating effect of SEW on the relationship between operating profit margin, sales growth, and investment rate, and VC, leading to increases in the value of firms. The results emphasize that the importance of SEW and its variations imply heterogeneous strategic behaviours among family firms, and that economic and emotional goals might be compatible.

Purpose The purpose of this paper is to offer new insights regarding an issue that has attracted the interest of multitude academics and practitioners in business management and family firm literature: technological innovation (TI). Specifically, this study brings new knowledge regarding both the impact of TI efficiency on firm growth and the moderating role of family involvement in management on such relationship. Design/methodology/approach The authors use a matched-pairs design and an ordinary least squares regression analysis to examine a sample of 152 Spanish manufacturing firms. Findings First, the authors show that firms obtaining higher TI efficiency are also those that achieve superior growth. Second, the authors reveal that as family involvement in management increases, the positive effect that TI efficiency exerts on firm growth is strengthened. Practical implications This study suggests that family managers should essentially consider various aspects such as tacit knowledge, social capital and long-standing collaborations with stakeholders to reinforce the relationship between TI efficiency and firm growth. Originality/value To the best of the authors’ knowledge, this is the first study that analyses the effect of TI efficiency on firm growth, as well as, when and to what extent family involvement in management influences the TI efficiency–growth relationship. Thus, this paper provides a deeper understanding of the importance that family managers could have on firm growth deriving from TI efficiency.

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