When does transitioning from family to professional management improve firm performance?

• 成果类型: Article
• 署名作者: Chang, Sea-Jin; Shim, Jungwook
• 署名单位: National University of Singapore; Korea Advanced Institute of Science & Technology (KAIST); Kyoto Sangyo University
• 刊物名称: STRATEGIC MANAGEMENT JOURNAL
• ISSN/ISSBN: 0143-2095
• DOI: 10.1002/smj.2289
• 发表日期: 2015
• 页码: 1297-1316
• 关键词: CEO succession; family business; behavioral agency model; PROFESSIONALIZATION; performance

摘要

Using long-term data on Japanese family firms, this study explores when the transition from family to professional management leads to better performance. In order to avoid endogeneity bias, we employ propensity score matching and difference-in-differences techniques. We find evidence that firms that transition from family to professional CEOs outperform those that maintain family leadership. This performance improvement is more pronounced when (1) families maintain high ownership control but leave no family legacy behind, (2) when the transition moves from non-founder family managers to professionals, and (3) when professional managers graduated from elite universities. Copyright (c) 2014 John Wiley & Sons, Ltd.