TY - JOUR
T1 - Family Firms’ Acquisitions and Politicians as Directors
T2 - A Socioemotional Wealth Approach
AU - Cuevas-Rodríguez, Gloria
AU - Pérez-Calero, Leticia
AU - Gomez-Mejia, Luis
AU - Kopoboru Aguado, Santiago
N1 - Funding Information:
The author(s) disclosed receipt of the following financial support for the research, authorship, and/or publication of this article: The authors acknowledge the financial support by the R&D Project FEDER Andalucía 2014-2020 (Ref. UPO-1262853), the research project funded by the Spanish Minister of Science & Innovation (Ref. PID2021-128420OB-I00), and the research project funded by Consejería de Universidad, Investigación e Innovación (Junta de Andalucia, PAIDI 2021) Ref. “ProyExcel_00934.”
Publisher Copyright:
© The Author(s) 2023.
PY - 2023/6
Y1 - 2023/6
N2 - This study analyzes how family control influences firms’ acquisition activity using a socioemotional wealth (SEW) approach and discusses their anticipated SEW gains and losses when making acquisition decisions. Data collected from Spanish public companies from 2010 to 2015 indicates that family firms are more reticent about undertaking acquisitions than nonfamily firms, and their lower propensity is more pronounced when there are no former politicians on the board of directors whose presence could reduce potential SEW losses. Furthermore, the benefits of former politicians on the board of family firms in terms of acquisition activity only occur in low-velocity industries.
AB - This study analyzes how family control influences firms’ acquisition activity using a socioemotional wealth (SEW) approach and discusses their anticipated SEW gains and losses when making acquisition decisions. Data collected from Spanish public companies from 2010 to 2015 indicates that family firms are more reticent about undertaking acquisitions than nonfamily firms, and their lower propensity is more pronounced when there are no former politicians on the board of directors whose presence could reduce potential SEW losses. Furthermore, the benefits of former politicians on the board of family firms in terms of acquisition activity only occur in low-velocity industries.
KW - acquisitions
KW - boards
KW - family firms
KW - industry velocity
KW - socioemotional wealth (SEW)
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U2 - 10.1177/08944865231162404
DO - 10.1177/08944865231162404
M3 - Article
AN - SCOPUS:85147877175
SN - 0894-4865
VL - 36
SP - 223
EP - 253
JO - Family Business Review
JF - Family Business Review
IS - 2
ER -