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Open Access
Article
Publication date: 15 August 2023

Michele Stasa Ouzký and Ondřej Machek

The goal of this paper is to examine the mediating role of organizational social capital between family firms' organizational culture, characterized by their group vs individual…

1564

Abstract

Purpose

The goal of this paper is to examine the mediating role of organizational social capital between family firms' organizational culture, characterized by their group vs individual orientation and external vs internal orientation, and their performance.

Design/methodology/approach

A structural equation model is developed and tested in a sample of 176 US family firms recruited through Prolific Academic.

Findings

The authors show that group vs individual cultural orientation fosters bonding social capital, while external vs internal cultural orientation fosters bridging social capital. In turn, family firm performance is only enhanced by bridging social capital, not bonding social capital, which appears to have neutral to negative direct performance effects. Nevertheless, it is noteworthy that bonding social capital facilitates the establishment of bridging ties, leading to overall positive performance outcomes.

Originality/value

The understanding of how organizational culture influences family business heterogeneity and performance, along with the clarification of how bonding social capital fosters or hinders performance, provides novel insights for researchers and practitioners seeking to understand the complexities within the unique context of family businesses.

Details

Journal of Family Business Management, vol. 14 no. 2
Type: Research Article
ISSN: 2043-6238

Keywords

Content available
Article
Publication date: 1 March 2007

Noel D. Campbell, Kirk H. Heriot and Dianne H. B. Welsh

Using the family business succession, resourcebased view of firms, familiness, and organizational clan literatures, this article develops a model based on the ability of the…

1812

Abstract

Using the family business succession, resourcebased view of firms, familiness, and organizational clan literatures, this article develops a model based on the ability of the family business to use familiness, a specific bundle of attributes deriving from a family’s culture, as a competitive advantage for the family firm. In particular, this resource-based framework of family business shows how familiness can distinguish between family firms that succeed beyond the second generation and those that do not. Implications for future research are discussed.

Details

New England Journal of Entrepreneurship, vol. 10 no. 2
Type: Research Article
ISSN: 2574-8904

Article
Publication date: 4 June 2019

Christopher Karl Köhr, Armando Maria Corsi, Roberta Capitello and Gergely Szolnoki

This study aims to investigate the relationship between organizational systems, market orientation, family culture and the long-term business performance of family businesses in…

Abstract

Purpose

This study aims to investigate the relationship between organizational systems, market orientation, family culture and the long-term business performance of family businesses in the wine sector in three countries.

Design/methodology/approach

A survey by questionnaire was undertaken with 123 wineries in Australia, Germany and Italy. Multiple-item measurement scales and multiple regression models were used to investigate mediation effects.

Findings

The findings indicate a marked influence of organizational systems and family culture on financial performance. Market orientation fully mediates the effect of family culture and partially mediates the effect of organizational systems on financial performance.

Practical implications

From a managerial perspective, this research indicates the central role of family culture when evaluating a firm’s capabilities and potential in the long term. The findings and their implications are of immediate concern for family firms in the wine sector.

Originality/value

For the first time, the antecedents of market orientation are investigated through simultaneous application of two key frameworks from marketing research and family business research in a single joint analysis.

Article
Publication date: 6 March 2020

Alexei Tretiakov, Christian Felzensztein, Anne Marie Zwerg, Jason Paul Mika and Wayne Gordon Macpherson

To explore the cultural context of Indigenous family entrepreneurs and to apply to them the concept of n-Culturals, thus contributing to validating the concept.

Abstract

Purpose

To explore the cultural context of Indigenous family entrepreneurs and to apply to them the concept of n-Culturals, thus contributing to validating the concept.

Design/methodology/approach

Interview data collected from Wayuu entrepreneurs in La Guajira region of Colombia and from Māori entrepreneurs in the Rotorua region of New Zealand were analyzed qualitatively. The analysis primarily focused on Wayuu entrepreneurs, with the results for Māori entrepreneurs used for comparison, to help to interpret the Wayuu data.

Findings

For Wayuu entrepreneurs, family members play a range of crucial roles in enterprise operations, with the family and the kin-centered local Indigenous community emerging as an informal organization surrounding the enterprise. Family is the source of Indigenous culture, while the mainstream culture is centered on global Western business culture, rather than the culture of the country. The Indigenous entrepreneurs integrate the values of the two cultures in managing their enterprises, thus acting as n-Cultural. Māori entrepreneurs who managed enterprises with a strong Indigenous character were similar in this respect to Wayuu entrepreneurs.

Social implications

As n-Culturals integrating the values of Indigenous culture and the mainstream culture, Indigenous entrepreneurs develop valuable traits, becoming a valuable component of the human capital in their regions, even when their enterprises fail.

Originality/value

Existing research on multicultural individuals is largely limited to immigrants and expatriates. By characterizing Indigenous family entrepreneurs as n-Culturals, the present study contributes to validating the concept and opens the way for further research on how Indigenous entrepreneurs manage their multicultural identities.

Details

Cross Cultural & Strategic Management, vol. 27 no. 2
Type: Research Article
ISSN: 2059-5794

Keywords

Article
Publication date: 15 May 2009

William David Brice and James Richardson

The purpose of this paper is to empirically compare values and beliefs of family‐business members with those of professional managers across two countries.

2819

Abstract

Purpose

The purpose of this paper is to empirically compare values and beliefs of family‐business members with those of professional managers across two countries.

Design/methodology/approach

The methodological approach utilizes a survey comparing 163 family‐firm members and 168 bank managers in Ukraine and the USA, looking for differences between the culture of members of family‐owned firms and non‐family professionals; and especially the direction of any differences.

Findings

The findings show significant differences between family‐firm members and non‐family professionals in both countries. Differences are in the same direction for three constructs. While this study is limited in only examining two countries, the results imply a conclusion that higher social flexibility and spirituality and lower power distance are potentially universal in terms of family‐firm culture.

Originality/value

This study's value is in illuminating specific fundamental cultural traits that may be related to family‐firm competitive advantage that researchers have noted in the literature.

Details

European Business Review, vol. 21 no. 3
Type: Research Article
ISSN: 0955-534X

Keywords

Article
Publication date: 8 October 2018

Syed Awais Ahmad Tipu

This paper aims to review the important themes in the literature on organizational culture (OC) in family firms.

Abstract

Purpose

This paper aims to review the important themes in the literature on organizational culture (OC) in family firms.

Design/methodology/approach

The review of the current literature is organized around three themes: nature of OC in family firms, antecedents of OC in family firms and outcomes of OC in family firms. The discussion on each theme is followed by the suggested pointers for future research.

Findings

Much is known about the identified three themes in the literature on OC in family firms. However, the current review also highlights the limitations of the available literature. With regard to the nature of OC, some inconsistent findings are reported in the literature with regard to the types of prevailing OC in family firms. The literature also reveals a range of positive outcomes of OC. Significantly less research examines the influence of environmental factors and other moderators of OC. Given the focus of the current literature on developed countries, there is a need of more comparative studies in emerging as well as developing countries to understand how contextual factors affect OC in family business settings.

Originality/value

For each theme, the suggested pointers for future research serve as a springboard for future research and improve the theoretical understanding of OC in family firms.

Details

European Business Review, vol. 30 no. 6
Type: Research Article
ISSN: 0955-534X

Keywords

Article
Publication date: 27 April 2022

Stavros Sindakis, Fotis Kitsios, Sakshi Aggarwal and Maria Kamariotou

Family businesses are value-based enterprises, contributing significantly to wealth creation. Although extensive research is conducted on family businesses, there is no study…

Abstract

Purpose

Family businesses are value-based enterprises, contributing significantly to wealth creation. Although extensive research is conducted on family businesses, there is no study investigating how the cultural traits in the Arab world affect the organizational culture of family businesses. This paper discusses how the cultural characteristics in the Arab world shape family enterprises and explores how the Arab world's organizational culture enables family firms to establish competitive advantage underpinned by founder centrality, the concept of family, and business principles spanning many generations.

Design/methodology/approach

A thorough search of the extant literature was done in Scopus, Web of Science, EBSCO, and ScienceDirect using a combination of keywords such as Arab culture, family businesses, family firm culture, organizational culture, cultural traits, management strategies, and entrepreneurial strategies. Selected articles were classified according to their content, reviewed, and analyzed.

Findings

This study makes a few critical contributions about the nature, and the origins of organizational culture in family firms, entailing the founder's centrality and stewardship theory. Specifically, family firms in the examined region appear to have a stronger firm culture compared to non-family businesses. Also, organizational culture affects family businesses considering the firm-level outcomes, such as hereditary transition success, family inertia, etc.

Originality/value

This paper adds to the existing theoretical knowledge and underlines the cultural traits and family firm culture in the Arab world. A framework is presented, offering practical recommendations to managers of family firms striving to advance their competitiveness.

Details

Journal of Small Business and Enterprise Development, vol. 29 no. 7
Type: Research Article
ISSN: 1462-6004

Keywords

Article
Publication date: 16 May 2016

Sylvie Laforet

The purpose of this paper is to examine the effects of organisational culture (OC) on organisational innovation performance (OIP) in family small and medium-sized enterprises…

9076

Abstract

Purpose

The purpose of this paper is to examine the effects of organisational culture (OC) on organisational innovation performance (OIP) in family small and medium-sized enterprises (SMEs). It seeks to establish the type of culture that lead to high innovation performance in family firms.

Design/methodology/approach

A postal survey of family SMEs across sectors in the UK is conducted. The study employs multiple regression analyses to test which family business culture has an effect on OIP. Among the family business cultures tested are: an external cultural orientation, a flexible and open OC as well as an organisational climate based on open communication and trust, the founder culture, and a long-term cultural orientation.

Findings

The findings show that a paternalistic and founder culture type do not have a positive effect on family firm innovation performance, but an entrepreneurial-like culture does, i.e. one that is externally oriented, flexible, proactive (refer to an open culture) and long-term oriented. Similarly, an inward focus culture such as, the founder culture impedes innovation; while an outward focus culture such as, an external orientation culture has a positive effect on family firm innovation performance.

Originality/value

This study makes valuable contributions to the understanding of theory and practices of innovation in family businesses. It provides future research directions.

Details

Journal of Small Business and Enterprise Development, vol. 23 no. 2
Type: Research Article
ISSN: 1462-6004

Keywords

Article
Publication date: 21 January 2021

Sokchea Lim, Simran K. Kahai and Channary Khun

The purpose of the paper is to examine how much difference in income can be explained by familial culture that persists in different societies.

Abstract

Purpose

The purpose of the paper is to examine how much difference in income can be explained by familial culture that persists in different societies.

Design/methodology/approach

We employ a two-step methodology to evaluate the impact of familial culture on income across countries. In the first step, we construct the macro measures of familial culture from micro survey data. In the second step, the growth model is estimated.

Findings

First-step micro regression results show that family is more important to female, richer, highly educated, unemployed and married individuals. Male, poorer, less educated and unemployed individuals are more likely to respect and love parents unconditionally. The same group is also more likely to think that parents must do the best for their kids. Finally, the macro results show that the strength of national familial ties explains significant differences in income across countries.

Research limitations/implications

We show that countries with weak family ties are richer than those with strong family ties. These results are useful for policymakers who design public policies that accommodate the type of familial culture that persists in their society.

Originality/value

We construct the macro measures of familial culture from the micro survey data. The paper adds to the literature on the effect of culture on income at the macro level.

Details

Journal of Economic Studies, vol. 49 no. 2
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 25 November 2020

Salomé Goñi, Pilar Corredor and Consuelo León

This research addresses how companies develop a process of transformation to a more family responsible behaviour and the role that women play in this process. This paper aims to…

Abstract

Purpose

This research addresses how companies develop a process of transformation to a more family responsible behaviour and the role that women play in this process. This paper aims to propose a model in which a female workforce is seen as contributing to the development of the family responsible firm. The model includes two paths for transformation, the supportive work–family culture and the managerial strategy for work–family using a mediation model. The analysis was performed in a sample of 1,048 Spanish firms.

Design/methodology/approach

The hypotheses are tested using Baron and Kenny’s (1986) mediated regression technique, the Sobel’s test (1982) and a bootstrap re-sampling with 5,000 and 10,000 iterations to determine the significance of the mediation.

Findings

The results confirm the impact of the proportion of women in the workforce on organizational culture and managerial strategy, factors that lead to a real increase in the accessibility of work–family policies. The mediation effect is total.

Research limitations/implications

Limitations stemming from the survey used and from the cross-sectional data.

Practical implications

The role of women, the culture and managers in promoting work–family policies appears clear. The need for the active reinforcement of the supportive work–family culture in companies and managerial strategy, diffusion, planning and involvement are all key factors in the development of work–family policies.

Social implications

Governments and society as a whole should urge firms to use all means at their disposal to guarantee the formal adoption of work–family policies.

Originality/value

Research that analyses the way in which work–family culture and the managerial strategy for work–family generate change does not usually incorporate the female component of the labour force as an explanatory element.

Details

Gender in Management: An International Journal , vol. 36 no. 2
Type: Research Article
ISSN: 1754-2413

Keywords

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