Born to Rebel? The Owner Birth Order and R&D Investments in Chinese Family Firms

2021 ◽  
Author(s):  
Wen Helena Li ◽  
Jin‐hui Luo ◽  
Marco De Sisto ◽  
Timothy Bartram
Keyword(s):  
Birth Order ◽  
Family Firms ◽  
Chinese Family

A Far-Reaching Parental Love? Co-Governance of Intergenerational Succession and Innovation Activities in Chinese Family Firms

2021 ◽  
pp. 1-37
Author(s):  
Zhenduo Zhu ◽  
Yuanfei Kang
Keyword(s):  
Family Relationships ◽  
Family Firms ◽  
Governance Structure ◽  
Chinese Family ◽  
Age Difference ◽  
Family Governance ◽  
Innovation Activities ◽  
Parental Love ◽  
And Gender ◽  
Intra Family

ABSTRACT Motivated by the research gap on intergenerational succession dynamics of family firms, this study examines the effects of initiating intergenerational succession on firms' innovation activities. We propose that initiation of intra-family succession can result in founder–successor co-governance that represents a strategic transition to the succession and incorporates the two conflicting yet complementary directions of change and continuity. Grounded in the theory of altruism, we suggest that co-governance will positively affect firms' innovation activities and that this positive link is contingent on the idiosyncratic intra-family relationships of kinship type, age difference, and gender difference between the founder and the successor. Furthermore, we posit that co-governance will lead to a flow of resources to low risk, rather than more inventive but higher risk, innovations. Based on the unbalanced panel data of 4,694 firm-year observations in our sample from listed Chinese family firms during the 2006–2015 period, empirical analysis supports our hypotheses and confirms that when examining family firms' innovation, there is a need to take the heterogeneity of the intra-family governance structure more fully into consideration.

scholarly journals Family Control, Political Connection, and Corporate Green Governance

2020 ◽  
Vol 12 (17) ◽  
pp. 7068
Author(s):  
Xiaolin Li ◽  
Weian Li ◽  
Yaowei Zhang
Keyword(s):  
Family Firms ◽  
Chinese Family ◽  
The Political ◽  
Political Connection ◽  
Social Emotional ◽  
Family Control ◽  
Listed Firms ◽  
Individual Level ◽  
Green Governance ◽  
Governance Practice

This paper firstly introduces green governance into the empirical research of family firms. Due to the fact that family firms have their own particularity in the principal agent and also have a strong desire to preserve social emotional wealth, this paper deeply studies the driving influence of family control on the green governance of family firms, and analyzes the moderating effect based on the political connection of executives. Taking the 2015–2017 Chinese family-listed firms that released social responsibility reports as the research sample, we find that family control contributes to the improvement of corporate green governance in family firms. However, the political connection of the actual controller weakens the effect of family control on the green governance of family firms. In addition, this research is also carried out under different situations, such as at the regional level and individual level. The research helps family firms give full play to their own advantages, guide the green governance practice of family firms, and improve the level of green governance.

scholarly journals Listing approach, political favours and earnings quality: Evidence from Chinese family firms

2014 ◽  
Vol 2 (1) ◽  
pp. 13-36 ◽  
Author(s):  
Qiongyu Huang ◽  
Minying Cheng ◽  
Wenjing Li ◽  
Minghai Wei
Keyword(s):  
Family Firms ◽  
Earnings Quality ◽  
Chinese Family ◽  
Quality Evidence

scholarly journals Market Feedback And Managers’ Decisions In Private Placement – Evidence From Chinese Family Firms

2016 ◽  
Vol 32 (4) ◽  
pp. 1049-1062
Author(s):  
Wanli Li ◽  
Weiwei Gao ◽  
Wei Sun
Keyword(s):  
Information Asymmetry ◽  
Family Firms ◽  
Family Members ◽  
External Factors ◽  
High Tech ◽  
Chinese Family ◽  
Control Rights ◽  
Private Placement ◽  
Market Feedback ◽  
The Relationship

What effect does market feedback have on managers’ decisions on private placement in family firms? Based on information asymmetry, agency theory, and corporate governance theory, we investigate the relationship between managers’ final decisions and market feedback to the announcement. We find that managers in family firms accept market feedback in decision-making and their attitude can be affected by many external factors. Managers tend to listen to the market when family firms are non-high-tech, when family members participate in purchasing the placed shares, when family members serve as managers, and when separation of control rights from ownership is small.

Sign in / Sign up

Export Citation Format

Share Document