TY - JOUR
T1 - Impact of informal institutions on the prevalence, strategy, and performance of family firms
T2 - A meta-analysis
AU - Berrone, Pascual
AU - Duran, Patricio
AU - Gómez-Mejía, Luis
AU - Heugens, Pursey P.M.A.R.
AU - Kostova, Tatiana
AU - van Essen, Marc
N1 - Funding Information:
Patricio Duran acknowledges the support of the Richard A. Chaifetz School of Business at Saint Louis University. Pascual Berrone acknowledges the support of the Spanish Ministry of Science and Innovation PID2019-104679RB-I00, the Schneider-Electric Sustainability and Business Strategy Chair, and the IESE’s High Impact Projects Initiative (2018/2018). Tatiana Kostova acknowledges the support of the University of South Carolina CIBER.
Publisher Copyright:
© 2020, Academy of International Business.
PY - 2022/8
Y1 - 2022/8
N2 - Family-controlled firms (FCFs)’ prevalence, strategies, and performance differ across countries. We explain these differences through the lens of informal institutions, suggesting that different countries have different levels of appreciation for family business. To capture this effect, we introduce the construct of family business legitimacy (FBL) and an associated index (FBLI). We empirically measure FBLI scores for 83 countries spanning both developed and emerging economies. By combining meta-analytic and archival data, we show that FCFs prevail, follow unique strategies, and outperform non-FCFs in countries with high FBLI scores. As a new contingency variable, FBL advances the literature on the informal institutional embeddedness of organizations and family business.
AB - Family-controlled firms (FCFs)’ prevalence, strategies, and performance differ across countries. We explain these differences through the lens of informal institutions, suggesting that different countries have different levels of appreciation for family business. To capture this effect, we introduce the construct of family business legitimacy (FBL) and an associated index (FBLI). We empirically measure FBLI scores for 83 countries spanning both developed and emerging economies. By combining meta-analytic and archival data, we show that FCFs prevail, follow unique strategies, and outperform non-FCFs in countries with high FBLI scores. As a new contingency variable, FBL advances the literature on the informal institutional embeddedness of organizations and family business.
KW - family firm prevalence
KW - family-controlled firms
KW - firm performance
KW - informal institutions
KW - meta-analysis
KW - strategic decisions
UR - http://www.scopus.com/inward/record.url?scp=85091377723&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=85091377723&partnerID=8YFLogxK
U2 - 10.1057/s41267-020-00362-6
DO - 10.1057/s41267-020-00362-6
M3 - Article
AN - SCOPUS:85091377723
SN - 0047-2506
VL - 53
SP - 1153
EP - 1177
JO - Journal of International Business Studies
JF - Journal of International Business Studies
IS - 6
ER -