scholarly journals The analysis of the relationship between family involvement and innovative capability in Chinese family SMEs

Author(s):  
Kaiyang Sun
2015 ◽  
Vol 7 (3) ◽  
pp. 69-99 ◽  
Author(s):  
Sami Basly

AbstractDoes the family involvement affect exports in the family firm? The literature seems to support this view even if the direction and magnitude of this impact remains controversial. Drawing on the perspectives of agency [Chrisman et al. 2004; Schulze et al. 2001] and stewardship as applied to family firms [Davis, Schoorman and Donaldson 1997] and also on socio-emotional wealth perspective [Gómez-Mejía et al. 2007], this study seeks to contribute to this debate by studying the influence of family involvement on the SME exports intensity. To reconcile the divergent views, our research attempts to assess the role of the manager’s international orientation as a variable moderating the relationship between family involvement and exports in SMEs. Based on a hypothetical-deductive approach, the study uses a sample data of 125 family SMEs obtained through a questionnaire. The results show that even if the positive influence of the manager’s international orientation is corroborated, its moderating role seems to be limited to only one facet of the construct of family involvement i.e. involvement in management. Moreover, owning-family involvement in management seems to negatively influence exports while some results argue for a positive effect of the family involvement in ownership on exports.


2020 ◽  
Vol 9 (1) ◽  
pp. 43-50
Author(s):  
Marta Fernández Olmos ◽  
Giulio Malorgio

Institutional networking is a key element in businesses’ internationalisation processes and is an important strategy for promoting the long-term growth and survivability of family SMEs in the DOC Rioja wine industry. We hold that the proportion of family members in the TMT plays an important role in strategic decision-making and helps to explain the speed of their internationalisation process. This paper contributes to the scant research on the influence of family involvement in the TMT by analysing the moderating effects of two diversities on the relationship between institutional networking and the speed of internationalisation: the family TMT ratio and generational involvement. Using a broad sample of 77 family wineries in DOC Rioja, the results obtained indicate that institutional networking plays a significant role in explaining the speed of internationalisation in family firms and that this relationship is weaker when a larger proportion of family members serve as top managers. The empirical results also have interesting implications for the managers of family firms as it may help them to identify the effective composition of TMTs to be considered when deciding on the process of internationalisation.


Organizacija ◽  
2016 ◽  
Vol 49 (4) ◽  
pp. 225-239 ◽  
Author(s):  
Marina Letonja ◽  
Mitja Jeraj ◽  
Miha Marič

Abstract Background and Purpose: In the recent period, scholarly interest for family entrepreneurship and succession has been increasing while the question of innovative capability of family SMEs and of innovativeness of founders and successors is relatively unexplored. Little is known about the factors, which are positively correlated, or affect innovativeness of successors in family SMEs. This research explores the relationship between entrepreneurial competences of the founders in family SMEs and innovativeness of their successors. Design/Methodology/Approach: The target group were family SMEs of the first and the second generation – their founders and successors in Slovenia. As our research includes two independent samples with mostly ordinal data, we used univariate (analysis of means, variance, reliability index Cronbach alpha, t-test) and multivariate (simultaneous analysis of more variables, correlation) statistical methods to study the two constructs - entrepreneurial competences of the founders and innovativeness of successors, to test the positive correlation between the two. Results: Results indicate that entrepreneurial competences like creativity, attitude toward risk-taking, attitude toward negotiations, technical knowledge and skills and marketing knowledge and skills of the founders in family SMEs positively correlate with innovativeness of successors. The results of this study indicate that entrepreneurial competences of founders are important factor for fostering innovativeness of successors. Conclusion: This paper links the two studied constructs and presents a valuable contribution for entrepreneurship theory; therefore, the results could be used for a further scientific research as also for practical implications.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mikel Alayo ◽  
Txomin Iturralde ◽  
Amaia Maseda

PurposeThe aim of this paper is to provide new evidence on the ability of family small- and medium-sized enterprises (SMEs) to develop ambidextrous innovations and their influence on the internationalization processes, showing how this relationship varies due to family involvement.Design/methodology/approachThe analysis is based on a sample of 186 Spanish family SMEs. Data were analyzed using structural equation modeling.FindingsThe results indicate that family SMEs' innovation activities are a stimulus for their internationalization process, and show the importance of family involvement in this relationship. Specifically, the findings suggest that family-specific characteristics such as the generation in charge of the business and the level of family involvement in the top management team (TMT) shape the relationship between innovation and internationalization.Practical implicationsFamily SMEs need to focus on exploratory and exploitative innovations to obtain a competitive advantage in foreign markets, and thus, increase their internationalization level. Furthermore, the study contributes to a better understanding of the consequences of family involvement, increasing our knowledge of family firms' idiosyncratic behaviors in strategic activities. The study suggests that in order to improve the effect of innovation on internationalization, family owners should consider involving new generations and non-family managers within the decision-making structures.Originality/valueTo date, research on innovation-internationalization link in family SMEs has been fragmented and has not obtained conclusive results. This study provides new evidence on the relationship between these two important strategies. Furthermore, it contributes to the understanding of the influence of the family in shaping strategic decisions.


2014 ◽  
Vol 8 (4) ◽  
pp. 683-703 ◽  
Author(s):  
Lixin Zhou

Purpose – This paper aims to explore the impact of family ownership, and family commitment on employees' organizational identification (EOI) with Chinese family firms, and to test the mediating effect of corporate social responsibility (CSR) on this relationship. Findings – The result reveals that family commitment positively influences employees’ organizational identification (EOI) with Chinese family firms. It is also shown that insiders’ responsibility (i.e. investors’ and employees’ responsibility) and public responsibility (i.e. community responsibility) positively influence EOI, and partially mediate the relationship between family commitment and EOI with Chinese family firms. In addition, the result indicates that family ownership positively influences insiders’ responsibility (i.e. investors’, and employees’ responsibility), outsiders’ responsibility (i.e. consumers’ responsibility), environmental responsibility and legal and ethical responsibility, and family commitment positively moderates the relationship between family ownership and insiders’ responsibility (i.e. investors’ and employees’ responsibility), outsiders’ responsibility (i.e. partners’ and consumers’ responsibility) and public responsibility (i.e. environmental responsibility) in Chinese family firms. Originality/value – This study is the first to examine empirically the relationship between family involvement (i.e. family ownership, family commitment) and EOI from the viewpoint of CSR in Chinese family firms. The study contributes to the understanding of the relationship between family involvement and EOI, as well as the understanding of the influence of CSR on EOI with Chinese family firms.


Author(s):  
Ana Álvarez ◽  
Natalia Suárez ◽  
Ellián Tuero ◽  
José C. Núñez ◽  
Antonio Valle ◽  
...  

The purpose of this work was to analyze the specific relationship between parental involvement, dimensions of student self-concept and achievement. 503 students of Secondary Education (ESO) and the first year of Baccalaureate course participated in the study. Data were collected using two questionnaires (Family Involvement Questionnaire and Self-Concept Scale for Adolescents) and academic achievement scores. Data were analyzed using multivariate analysis of variance and paths analysis. The results obtained suggest a significant relationship between the dimensions of perceived family involvement and the dimensions of self-concept (except for parents' praise behaviors). What's more, the relationship between perceived family involvement and achievement is partially mediated by the academic self-concept.


2022 ◽  
pp. 842-860
Author(s):  
Unai Arzubiaga ◽  
Pablo Álamo

This chapter aims to analyze if entrepreneurial leadership, regarded as a distinctive feature of entrepreneurial processes, represents an essential element for obtaining satisfactory innovation performance in an emerging context such as Colombia in Latin America. The relationship between entrepreneurial leadership and innovation management works differently in family firms (FF) compared with their non-family counterparts. Indeed, there is no consensus in the literature on the effects of entrepreneurial leadership on innovation success in family small and medium-sized enterprises (SMEs). Exploratory research has been conducted considering a survey held on family SMEs in Colombia. Results highlight the importance of supporting entrepreneurial leadership in order to achieve the innovation goals in these types of organizations and show how these factors change between family SMEs with family CEOs and non-family CEOs. In this sense, although the focus in this chapter is on FF, the conclusions could be to some extent generalized to SMEs.


China Report ◽  
2020 ◽  
Vol 56 (1) ◽  
pp. 103-128
Author(s):  
John Lee Kean Yew

Southeast Asia with its historical concentration of ethnic Chinese remains an important economic hub encouraging cross-disciplinary inquiries on themes relating to businesses. In industrialising Malaysia, there is little research on their capacity to develop tacit knowledge of the founding generation mostly inherited from China, before starting a business in Malaysia. This assessment of four thriving Malaysian Chinese family SMEs in food production evaluates how a new generational change has innovated their traditional food products. Interestingly, tradition may enable these Malaysian Chinese firms to innovate by building on more reliable knowledge and resources, extensively validated over time, and hence reduce development and utilisation costs. The well-trained second and third generations have been innovating tacit knowledge to elicit strong and positive feelings of ‘Chinese’ identity, increasing the value of new products through R&D by embedding past knowledge and facilitating the legitimacy of innovative functionalities and obtaining market acceptance.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Erny Rachmawati ◽  
Suliyanto ◽  
Agus Suroso

PurposeThis study aims to determine the direct effect of entrepreneurial orientation on family business performance. This study also discusses the role of family involvement as a mediating variable and the role of gender as a moderating variable in the relationship between entrepreneurial orientation and family business performance.Design/methodology/approachA total of 328 hotels in Yogyakarta, Indonesia, were selected as samples by the convenience sampling method. Primary data is collected through structured questionnaires that are delivered by themselves to key people in the hotel such as owners, directors and key staff (HRD, financial, relationship). Hypotheses are tested by structural equation modeling procedures using AMOS 22.0. Sobel test is used to determine the indirect effect of the mediation variable.FindingsThe results showed that entrepreneurial orientation had no significant effect on family business performance. Family involvement acts as a full mediation in the relationship between entrepreneurial orientation and family business performance. Gender acts as a moderating variable that can strengthen the relationship between entrepreneurial orientation and family business performance. The results showed support for previous research.Research limitations/implicationsThe results of the study cannot conclude the national family business because it adopts convenience sampling and the sampling area is limited in Yogyakarta. Future research can use a larger sample. This study only researches hotels managed by family businesses, so it is not feasible to conclude for family businesses in general. Future research may choose to use several types of family businesses so that more varied results can be obtained. Future research could also compare hotels managed by family businesses with non-family businesses. The results also found that in addition to gender roles, respondent heterogeneity was an important component in the study of social identity. Therefore, research examining the influence of different cultures on the relationship between entrepreneurial orientation and family business performance should be an extraordinary topic for future study. Other results from this study also indicate that there is a role for religion in improving hotel performance. Future research is needed to further explore Islamic business modeling for family businesses.Practical implicationsThis finding has significant implications that can help family businesses in developing strategies that are suitable for business management. Entrepreneurial orientation occupies a strategic position in developing sustainable competitive advantage in the family business of the tourism sector especially the hotel business in Yogyakarta for the better. Besides, the results of the study also showed that entrepreneurial orientation had no significant effect on performance. This relationship becomes significant when combined with active family involvement. This finding also shows that entrepreneurial orientation has the potential to have a more beneficial effect because of the active involvement of the family in helping with business management, alleviating business-related problems, and having a significant influence when the family also acts as management.Social implicationsResearch findings indicate the role of gender in strengthening the relationship between entrepreneurial orientation and family business performance. This provides a good position for women in the social environment to show achievement. To place women on the side of gender equality and justice in the family business in Indonesia. By opening wider access for Indonesian women in the realm of business management, expanding women's participation in a family business, increasing the role of control for women, and increasing women's knowledge and skills to increase the benefits in managing family businesses so that they have sustainable resilience in the face of global competition.Originality/valueThe results of this study provide a new model in providing an overview of the direct and indirect roles (mediating and moderating) in the assessment of family business performance. This study uses three variables which are important in performance appraisal, namely entrepreneurial orientation (independent variable), family involvement (mediating variable) and gender (moderating variable). Where research that combines these four variables, directly and indirectly, has never been done before.


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