Did family firms perform better during the financial crisis? New insights from the S&P 500 firms

Family Firm Performance Over the Business Cycle: A Meta‐analysis

“…For Asian and non-OECD countries, we found evidence for a countercyclical effect where the relative outperformance of family firms is higher in economically difficult times. This finding supports those studies arguing for a strong resilience and outperformance of family firms in difficult times (Allouche et al, 2008;Amann & Jaussaud, 2012;Desender et al, 2009;Joe et al, 2018;Kashmiri, Mahajan, 2014;Leung & Horwitz, 2010;Minichilli et al, 2016;Van Essen et al, 2015b;Zhou et al, 2017) and disproves those studies arguing for the opposite to be the case (Bae et al, 2012;Baek et al 2004;Lemmon & Lins, 2003;Lins et al, 2013). It should be noted that we did not find such a countercyclical effect for OECD countries where family firm performance seems not to be influenced by business cycles.…”

The Role of Political Connections on Family Firms’ Performance: Evidence from Indonesia

“…Table 4 presents the Pearson's correlation matrix for all variables used in this study. This matrix measures the dependence and direction of the linear relationship between two random variables (real-valued vector) (Zhou et al 2017). The positive or negative sign indicates the direction and strength of the relationship shown by the number of asterisks, which is defined as the level of significance.…”

“…The detail of Equation 1is presented as follows: Table 5 presents the results of OLS regression to test the hypothesis 1. In the specification 1 we use family firms (FF) proxy constructed by Zhou et al (2017). The coefficient of FF shows −0.147 and is significant in the 5 percent level (t = −2.52).…”

“…The family firms were measured by the position of director or commissioner being held by more than one member of the same family (marked by the same surname) and by having ownership of at least 5% of the shares (Zhou et al 2017). Referring to regulation from Indonesia Financial Service Authority, 1 it is compulsory for the public firms in Indonesia to disclose the affiliated relationships among director and commissioner within the firms in their annual report.…”

Profitability and Its Determinants in Turkish Manufacturing Industry: Evidence from a Dynamic Panel Model

“…Pervan & Mlikota, 2013;Miralles-Marcelo, del Mar Miralles-Quirós, & Lisboa, 2014;Poutziouris, Savva, & Hadjielias, 2015;Nunes & Serrasqueiro, 2015;Cavaco et al, 2016;Zhou, He, & Wang, 2017;among others), In this study, we chose market risk, which is popularly known as the systematic risk or beta, as a measure of risk because shareholders fundamentally worry about the risk that cannot be mitigated through the diversification strategy. Based on the risk premium hypothesis, shareholders are expected to earn a higher return in exchange for taking more risk i.e.…”