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Family firms and financial performance : the cost of growing

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Date
2012-12
Author
González Ferrero, Maximiliano
Guzmán Vásquez, Alexander
Pombo Vejarano, Carlos
Trujillo Dávila , María Andrea

Citación

       
TY - GEN T1 - Family firms and financial performance : the cost of growing UR - http://hdl.handle.net/10726/5138 PB - Elsevier BV AB - ER - @misc{10726_5138, author = {González Ferrero Maximiliano and Guzmán Vásquez Alexander and Pombo Vejarano Carlos and Trujillo Dávila María Andrea}, title = {Family firms and financial performance : the cost of growing}, language = {eng}, orcid = {González Ferrero, Maximiliano [0000-0002-8675-6911]}, orcid = {Guzmán Vásquez, Alexander [0000-0001-7675-048X]}, orcid = {Pombo Vejarano, Carlos [0000-0001-9638-0586]}, orcid = {Trujillo Dávila, María Andrea [0000-0002-9592-7890]}, scopus = {González Ferrero, Maximiliano [17434254200]}, scopus = {Guzmán Vásquez, Alexander [55207224400]}, scopus = {Pombo Vejarano, Carlos [6603836065]}, scopus = {Trujillo Dávila, María Andrea [55206416700]}, year1 = {2023-06-21T22:23:12Z}, year2 = {2023-06-21T22:23:12Z}, abstract2 = {This study examines the relationship between financial performance and family involvement for 523 listed and non-listed Colombian firms over 1996–2006. Using a detailed database and performing several panel data regression models, we find that family firms exhibit better financial performance on average than non-family firms when the founder is still involved in operations, although this effect decreases with firm size. With heirs in charge, there is no statistical difference in financial performance. Both direct and indirect ownership (control through pyramidal ownership structures within family business groups) affect firms' financial performance positively. However, this positive effect decreases with firm size. The results suggest that some kinds of family involvement appear to make firm growth expensive.}, instname = {instname:Colegio de Estudios Superiores de Administración – CESA}, reponame = {reponame:Biblioteca Digital – CESA}, typedrive = {info:eu-repo/semantics/article}, url = {http://hdl.handle.net/10726/5138} }RT Generic T1 Family firms and financial performance : the cost of growing LK http://hdl.handle.net/10726/5138 PB Elsevier BV AB OL Spanish (121)
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Abstract
This study examines the relationship between financial performance and family involvement for 523 listed and non-listed Colombian firms over 1996–2006. Using a detailed database and performing several panel data regression models, we find that family firms exhibit better financial performance on average than non-family firms when the founder is still involved in operations, although this effect decreases with firm size. With heirs in charge, there is no statistical difference in financial performance. Both direct and indirect ownership (control through pyramidal ownership structures within family business groups) affect firms' financial performance positively. However, this positive effect decreases with firm size. The results suggest that some kinds of family involvement appear to make firm growth expensive.
DOI
https://doi.org/10.1016/j.ememar.2012.09.003
URI
http://hdl.handle.net/10726/5138
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  • Artículos y borradores de administración – Working papers [186]

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