Accountability and Stewardship of Family Business Entities

Which Type of Advisors Do Family Businesses Trust Most? An Exploratory Application of Socioemotional Selectivity Theory

“…Studies that have used ranked data similar to the most trusted advisor AFBS data have combined the rankings into categories and summed the rankings within the categories for analysis purposes. These studies include examinations of individual moral values data (Rosenberg, 1987), organization-level environmental threat data (Jauch, Osborn, & Martin, 1980), and nation-level stakeholder salience data (Duncan & Moores, 2014). Following the lead of these studies, to measure the degree to which family business leaders trust family advisors most, we summed the trust values of the family advisors; and to measure the degree to which family business leaders trust professional advisors most, we summed the trust values of the professional advisors.…”

Corporate governance and family firm performance during the Global Financial Crisis

“…The definition of family firms is a challenge for family business researchers and is cited as a possible explanation for the mixed and conflicting results (Miller et al ., ; Duncan and Moores, ). We define a firm to be a family‐controlled firm when the family is the largest shareholder and is represented by one officer or director which is consistent with other major Australian and international studies of family firms (Villalonga and Amit, ; Yupitun, ).…”

“…If we consider the value relationship in Equation , then it could be that the observed higher Tobin's Q for family firms is due to higher earnings or return on equity. However, the conflicting earnings evidence in the literature (Hasso and Duncan, ; Duncan and Moores, ) suggests that the nature of the innovation is more complex or that there are other factors that are not specified. Nevertheless, there is fairly consistent evidence that family firms exhibit higher Tobin's Q (Morck et al ., ; Callahan et al ., ; Chen et al ., ; Lemmon and Lins, ; Dwivedi and Jain, ; Black et al ., 2006a).…”

Cognition, emotion and action: persistent sources of parent–offspring paradoxes in the family business

“…“These parent–offspring conflicts become more evident around the timing of succession, with the older generation reluctantly giving way to the younger” (Nicholson, 2008, p. 111). Business founders typically consider the firm as an extension of their selves, an instrument of their creation, an expression of their personal power and a space for personal gratification (Duncan and Moores, 2014; Fahlenbrach, 2009; Levinson, 1971). Concomitantly, they may have a so-called dynastic motive or preference (Parker, 2016), in that they wish their offspring to carry on with the business legacy, without considering what these offspring might actually desire.…”