In the years following the economic and ̄nancial crisis, Italy, where most ̄rms are family- owned, has seen the demise of more companies than any other country. To avoid a similar disaster in the future, it is important to understand which determinants in°uence ̄rms' sur- vival. Stemming from ̄nancial and family business literature, this paper investigates the role of ̄nancial ratios and family corporate governance in predicting family ̄rms' survival probability. To obtain empirical evidence, it performs a mediating regression analysis using a sample of 273 Italian family ̄rms. The main ̄ndings show that family ownership concentration and the presence of a family CEO increase ̄rms' survival probability, while a high number of family members involved in the ̄rm and the co-presence of more generations hinder it.
THE ROLE OF FAMILY GOVERNANCE BEYOND FINANCIAL RATIOS: AN INTEGRATED PERSPECTIVE ON FAMILY FIRMS’ SURVIVAL
MODINA, MICHELE;
2020-01-01
Abstract
In the years following the economic and ̄nancial crisis, Italy, where most ̄rms are family- owned, has seen the demise of more companies than any other country. To avoid a similar disaster in the future, it is important to understand which determinants in°uence ̄rms' sur- vival. Stemming from ̄nancial and family business literature, this paper investigates the role of ̄nancial ratios and family corporate governance in predicting family ̄rms' survival probability. To obtain empirical evidence, it performs a mediating regression analysis using a sample of 273 Italian family ̄rms. The main ̄ndings show that family ownership concentration and the presence of a family CEO increase ̄rms' survival probability, while a high number of family members involved in the ̄rm and the co-presence of more generations hinder it.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
