Traditional credit rating models, adopted by financial institutions to assess the credit risk of a company, adopt a purely financial perspective, and often fail to properly assess small and medium enterprises. On the other hand, buyers usually assess suppliers by means of comprehensive vendor ratings, considering a broad range of operational performance. This paper investigates whether financial and vendor ratings can be integrated into a supply chain credit rating model that jointly considers financial indicators of the supplier and its operational evaluation provided by buyers; the paper also investigates the benefits and the challenges of such a model for all the stakeholders involved (buyers, suppliers, financial institutions, and technology providers), adopting the lenses of the stakeholder theory. We adopted both multiple case studies and an iterative focus group, involving representatives from suppliers, buyers, financial institutions, and technology providers. The results confirm the potential value of such an integrated rating, mainly for strategic suppliers, showing the expected benefits for all stakeholders and highlighting the potential challenges to face.
We examine the long-run market performance of a sample of family and nonfamily Italian firms that went public from 1995 to 2005, in order to analyse the influence of family ownership and private equity participation on such performance. We first investigate the influence of family ownership and private equity participation on the full sample of firms considered. Afterwards, we restrict our attention to the subset of family firms, with the aim of studying the impact of private equity on their market performance. Symmetrically, we focus on the subsample of private equity backed IPOs and examine the effect of family ownership on this category of firms. As a result, our research does not provide any strong evidence of the expected positive synergies resulting from the association between private equity and family ownership
In this paper we investigate three corporate governance issues in 30 Italian family firms: (i) the orientation either to the Agency Theory or to the Stewardship Theory; (ii) the board of directors’ composition; (iii) the ability to involve nonfamily individuals in the company’s management and governance (Openness Index) and the decision-making quality (Extension Index) and we analyze empirical results through a cluster analysis by following the Gubitta and Gianecchini’s approach (2002). Our conclusion suggests that (i) small Italian family firms’ corporate governance systems seem to be consistent with the guidelines suggested by the Stewardship Theory and (ii) Italian family firms’ boards are characterized by a relevant presence of family members.
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