Family Firm Heterogeneity: A Definition, Common Themes, Scholarly Progress, and Directions Forward

Joshua J. Daspit; James J. Chrisman; Triss Ashton; Nicholas Evangelopoulos

doi:10.1177/08944865211008350

journal article Apr 26, 2021

Family Firm Heterogeneity: A Definition, Common Themes, Scholarly Progress, and Directions Forward

Joshua J. Daspit

James J. Chrisman

Triss Ashton Nicholas Evangelopoulos

Family Business Review Vol. 34 No. 3 pp. 296-322 · SAGE Publications

View at Publisher Save 10.1177/08944865211008350

Abstract

While progress has been made in recent years to understand the differences among family firms, insights remain fragmented due, in part, to an incomplete understanding of heterogeneity and the scope of differences that exist among family firms. Given this, we offer a definition of and review the literature on family firm heterogeneity. A latent semantic analysis of 781 articles from 33 journals identified nine common themes of family firm heterogeneity. For each theme, we review scholarly progress made and highlight differences among family firms. Additionally, we offer directions for advancing the study of family firm heterogeneity.

Topics

No keywords indexed for this article. Browse by subject →

References

197

[1]

Aldrich H. E., Cliff J. E. (2003). The pervasive effects of family on entrepreneurship: Toward a family embeddedness perspective. Journal of Business Venturing, 18(5), 573-596. https://doi.org/10.1016/S0883-9026(03)00011-9 10.1016/s0883-9026(03)00011-9

[2]

Founding‐Family Ownership and Firm Performance: Evidence from the S&P 500

Ronald C. Anderson, David M. Reeb

The Journal of Finance 10.1111/1540-6261.00567

[3]

Anderson R. C., Reeb D. M. (2004). Board composition: Balancing family influence in S&P 500 firms. Administrative Science Quarterly, 49(2), 209-237. https://doi.org/10.2307%2F4131472 10.2307/4131472

[4]

10.1007/978-3-319-77676-7_29

[5]

The Development of Organizational Social Capital: Attributes of Family Firms*

Jean‐Luc Arregle, Michael A. Hitt, David G. Sirmon et al.

Journal of Management Studies 10.1111/j.1467-6486.2007.00665.x

[6]

Arregle J. L., Naldi L., Nordqvist M., Hitt M. A. (2012). Internationalization of family-controlled firms: A study of the effects of external involvement in governance. Entrepreneurship Theory and Practice, 36(6), 1115-1143. https://doi.org/10.1111/j.1540-6520.2012.00541.x 10.1111/j.1540-6520.2012.00541.x

[7]

Arzubiaga U., Kotlar J., De Massis A., Maseda A., Iturralde T. (2018). Entrepreneurial orientation and innovation in family SMEs: Unveiling the (actual) impact of the Board of Directors. Journal of Business Venturing, 33(4), 455-469. https://doi.org/10.1016/j.jbusvent.2018.03.002 10.1016/j.jbusvent.2018.03.002

[8]

Bammens Y., Voordeckers W., Van Gils A. (2008). Boards of directors in family firms: A generational perspective. Small Business Economics, 31(2), 163-180. https://doi.org/10.1007/s11187-007-9087-5 10.1007/s11187-007-9087-5

[9]

Barnett T., Kellermanns F. W. (2006). Are we family and are we treated as family? Nonfamily employees’ perceptions of justice in the family firm. Entrepreneurship Theory and Practice, 30(6), 837-854. https://doi.org/10.1111/j.1540-6520.2006.00155.x 10.1111/j.1540-6520.2006.00155.x

[10]

Barney J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99-120. https://doi.org/10.1177/014920639101700108 10.1177/014920639101700108

[11]

Ben-Hur E., Kadmon R. (2020). Heterogeneity-diversity relationships in sessile organisms: A unified framework. Ecology Letters, 23(1), 193-207. https://doi.org/10.1111/ele.13418 10.1111/ele.13418

[12]

Bennedsen M., Nielsen K. M., Perez-Gonzales F., Wolfenzon D. (2007). Inside the family firm: The role of families in succession decisions and performance. Quarterly Journal of Economics, 122(2), 647-691. https://doi.org/10.1162/qjec.122.2.647 10.1162/qjec.122.2.647

[13]

10.1002/9781118258439.ch19

[14]

Berent-Braun M. M., Uhlaner L. M. (2012). Family governance practices and teambuilding: paradox of the enterprising family. Small Business Economics, 38(1), 103-119. https://doi.org/10.1007/s11187-010-9269-4 10.1007/s11187-010-9269-4

[15]

Socioemotional Wealth in Family Firms

Pascual Berrone, Cristina Cruz, Luis R. Gomez-Mejia

Family Business Review 10.1177/0894486511435355

[16]

Bettinelli C. (2011). Boards of directors in family firms: An exploratory study of structure and group process. Family Business Review, 24(2), 151-169. https://doi.org/10.1177/0894486511402196 10.1177/0894486511402196

[17]

Block J. H. (2011). How to pay nonfamily managers in large family firms: A principal–agent model. Family Business Review, 24(1), 9-27. https://doi.org/10.1177/0894486510394359 10.1177/0894486510394359

[18]

Blumentritt T. (2006). The relationship between boards and planning in family businesses. Family Business Review, 19(1), 65-72. https://doi.org/10.1111/j.1741-6248.2006.00062.x 10.1111/j.1741-6248.2006.00062.x

[19]

Botero I. C., Thomas J., Graves C., Fediuk T. A. (2013). Understanding multiple family firm identities: An exploration of the communicated identity in official websites. Journal of Family Business Strategy, 4(1), 12-21. https://doi.org/10.1016/j.jfbs.2012.11.004 10.1016/j.jfbs.2012.11.004

[20]

Brewton K. E., Danes S. M., Stafford K., Haynes G. W. (2010). Determinants of rural and urban family firm resilience. Journal of Family Business Strategy, 1(3), 155-166. https://doi.org/10.1016/j.jfbs.2010.08.003 10.1016/j.jfbs.2010.08.003

[21]

Brun de Pontet S., Worsch C., Gagne M. (2007). An exploration of the generational differences in levels of control held among family businesses approaching succession, Family Business Review, 20(4), 337-354. https://doi.org/10.1111/j.1741-6248.2007.00103.x 10.1111/j.1741-6248.2007.00103.x

[22]

Cabrera-Suárez K. (2005). Leadership transfer and the successor’s development in the family firm. The Leadership Quarterly, 16(1), 71-96. https://doi.org/10.1016/j.leaqua.2004.09.010 10.1016/j.leaqua.2004.09.010

[23]

Cabrera-Suárez M. K., Déniz-Déniz M. C., Martín-Santana J. D. (2015). Family social capital, trust within the TMT, and the establishment of corporate goals related to nonfamily stakeholders. Family Business Review, 28(2), 145-162. https://doi.org/10.1177/0894486514526754 10.1177/0894486514526754

[24]

Cabrera-Suárez M. K., De Saa-Perez P., Garcia-Almeida D. (2001). The succession processes from a resource- and knowledge-based view of the firm. Family Business Review, 14(1), 37-46. https://doi.org/10.1111/j.1741-6248.2001.00037.x 10.1111/j.1741-6248.2001.00037.x

[25]

Cadieux L., Lorrain J., Hugron P. (2002). Succession in women-owned businesses: A case study. Family Business Review, 15(1), 17-30. https://doi.org/10.1111/j.1741-6248.2002.00017.x 10.1111/j.1741-6248.2002.00017.x

[26]

Carr J. C., Cole M. S., Ring J. K., Blettner D. P. (2011). A measure of variations in internal social capital among family firms. Entrepreneurship Theory and Practice, 35(6), 1207-1227. https://doi.org/10.1111/j.1540-6520.2011.00499.x 10.1111/j.1540-6520.2011.00499.x

[27]

Casillas J. C., Moreno A. M. (2010). The relationship between entrepreneurial orientation and growth: The moderating role of family involvement. Entrepreneurship & Regional Development, 22(3-4), 265-291. https://doi.org/10.1080/08985621003726135 10.1080/08985621003726135

[28]

Casillas J. C., Moreno A. M., Barbero J. L. (2010). A configurational approach of the relationship between entrepreneurial orientation and growth of family firms. Family Business Review, 23(1), 27-44. https://doi.org/10.1177/0894486509345159 10.1177/0894486509345159

[29]

Chang E. P. C., Memili E., Chrisman J. J., Kellermanns F. W., Chua J. H. (2009). Family social capital, venture preparedness, and start-up decisions: A study of Hispanic entrepreneurs in New England. Family Business Review, 22(3), 279-292. https://doi.org/10.1177/0894486509332327 10.1177/0894486509332327

[30]

Chrisman J. J., Boulton W. R., Hofer C. W. (1988). Toward a system for classifying business strategies, Academy of Management Review, 13(3), 413-428. https://doi.org/10.5465/amr.1988.4306963 10.5465/amr.1988.4306963

[31]

Chrisman J. J., Chua J. H., De Massis A., Minola T., Silvio V. (2016). Management processes and strategy execution in family firms: From “what” to “how.” Small Business Economics, 47(3), 719-734. https://doi.org/10.1007/s11187-016-9772-3 10.1007/s11187-016-9772-3

[32]

Comparing the Agency Costs of Family and Non–Family Firms: Conceptual Issues and Exploratory Evidence

James J. Chrisman, Jess H. Chua, Reginald A. Litz

Entrepreneurship Theory and Practice 10.1111/j.1540-6520.2004.00049.x

[33]

Chrisman J. J. CPA Journal (2009)

[34]

Chrisman J. J., Devaraj S., Patel P. C. (2017). The impact of incentive compensation on labor productivity in family and nonfamily firms. Family Business Review, 30(2), 119-136. https://doi.org/10.1177/0894486517690052 10.1177/0894486517690052

[35]

Chrisman J. J., Memili E., Misra K. (2014). Nonfamily managers, family firms, and the winner’s curse: The influence of noneconomic goals and bounded rationality. Entrepreneurship Theory and Practice, 38(5), 1103-1127. https://doi.org/10.1111/etap.12014 10.1111/etap.12014

[36]

Variations in R&D Investments of Family and Nonfamily Firms: Behavioral Agency and Myopic Loss Aversion Perspectives

James J. Chrisman, Pankaj C. Patel

Academy of Management Journal 10.5465/amj.2011.0211

[37]

Chu W. (2009). The influence of family ownership on SME performance: evidence from public firms in Taiwan. Small Business Economics, 33, 353-373. https://doi.org/10.1007/s11187-009-9178-6 10.1007/s11187-009-9178-6

[38]

Chua J. H., Chrisman J. J., Bergiel E. B. (2009). An agency theoretic analysis of the professionalized family firm. Entrepreneurship Theory and Practice, 33(2), 355-372. https://doi.org/10.1111/j.1540-6520.2009.00294.x 10.1111/j.1540-6520.2009.00294.x

[39]

Chua J. H., Chrisman J. J., De Massis A. (2015). A closer look at SEW: Its flows, stocks, and prospects for moving forward. Entrepreneurship Theory and Practice, 39(2), 173-182. https://doi.org/10.1111/etap.12155 10.1111/etap.12155

[40]

Chua J. H., Chrisman J. J., Sharma P. (1999). Defining the family business by behavior. Entrepreneurship Theory and Practice, 23(4), 19-39. https://doi.org/10.1177/104225879902300402 10.1177/104225879902300402

[41]

Chua J. H., Chrisman J. J., Sharma P. (2003). Succession and nonsuccession concerns of family firms and agency relationship with nonfamily managers. Family Business Review, 16(2), 89-107. https://doi.org/10.1111/j.1741-6248.2003.00089.x 10.1111/j.1741-6248.2003.00089.x

[42]

Sources of Heterogeneity in Family Firms: An Introduction

Jess H. Chua, James J. Chrisman, Lloyd P. Steier et al.

Entrepreneurship Theory and Practice 10.1111/j.1540-6520.2012.00540.x

[43]

Combs J. G., Shanine K. K., Burrows S., Allen J. S., Pounds T. W. (2020). What do we know about business families? Setting the stage for leveraging family science theories. Family Business Review, 33(1), 38-63. https://doi.org/10.1177/0894486519863508 10.1177/0894486519863508

[44]

Corbetta G. (1995). Patterns of development of family businesses in Italy. Family Business Review, 8(4), 255-265. https://doi.org/10.1111/j.1741-6248.1995.00255.x 10.1111/j.1741-6248.1995.00255.x

[45]

The Board of Directors in Family Firms: One Size Fits All?

Guido Corbetta, Carlo A. Salvato

Family Business Review 10.1111/j.1741-6248.2004.00008.x

[46]

Covin J. G., Slevin D. P. (1991). A conceptual model of entrepreneurship as firm behavior. Entrepreneurship Theory and Practice, 16(1), 7-26. https://doi.org/10.1177/104225879101600102 10.1177/104225879101600102

[47]

Cyert R. M. (1963)

[48]

Daspit J. J., Chrisman J. J., Sharma P., Pearson A. W., Mahto R. (2018). Governance as a source of family firm heterogeneity. Journal of Business Research, 84, 293-300. https://doi.org/10.1016/j.jbusres.2017.12.041 10.1016/j.jbusres.2017.12.041

[49]

Daspit J. J., Holt D. T., Chrisman J. J., Long R. G. (2016). Examining family firm succession from a social exchange perspective: A multiphase, multistakeholder review. Family Business Review, 29(1), 44-64. https://doi.org/10.1177/0894486515599688 10.1177/0894486515599688

[50]

Dawson A. (2012). Human capital in family businesses: Focusing on the individual level. Journal of Family Business Strategy, 3(1), 3-11. https://doi.org/10.1016/j.jfbs.2011.12.001 10.1016/j.jfbs.2011.12.001

Showing 50 of 197 references

Cited By

278

What Are Family Firms All About? Advancing Family Business Research Through Socioemotional Wealth Theory

Andrea Calabrò, Mariateresa Torchia · 2025

Journal of Management Studies

Cash profit sharing and labour productivity in family firms: Exploring the effects of R&D and capital intensities

Frank Mullins, Esra Memili · 2024

International Review of Applied Eco...

Family firms and the governance of global value chains

Francesco Debellis, Emanuela Rondi · 2024

Journal of International Business S...

Knowledge management in family firms: a systematic review, integrated insights and future research opportunities

Emma Su, Joshua Daspit · 2021

Journal of Knowledge Management

Metrics

278

Citations

197

References

Details

Published: Apr 26, 2021
Vol/Issue: 34(3)
Pages: 296-322
License: View

Authors

J

Joshua J. Daspit

Texas State University, San Marcos, TX, USA

J

James J. Chrisman

Mississippi State University, Mississippi State, MS, USA; University of Alberta, Edmonton, Alberta, Canada

T

Triss Ashton

Tarleton State University, Stephenville, TX, USA

N

Nicholas Evangelopoulos

University of North Texas, Denton, TX, USA; 7-Eleven Inc., Irving, TX, USA

Cite This Article

Joshua J. Daspit, James J. Chrisman, Triss Ashton, et al. (2021). Family Firm Heterogeneity: A Definition, Common Themes, Scholarly Progress, and Directions Forward. Family Business Review, 34(3), 296-322. https://doi.org/10.1177/08944865211008350

Family Firm Heterogeneity: A Definition, Common Themes, Scholarly Progress, and Directions Forward

You May Also Like