Work

The influence of family control on decisions regarding the specialization and diversification of business groups

Year: 2015

Type: article

Abstract: This study analyses the impact of family control on decisions regarding the specialization and diversification of large business groups whose parent companies are listed on Spanish stock exchanges. Using a sample of ninety-nine companies, having identified the companies that constitute the business group, and using both binary logistic models and the Heckman two-step method to eliminate selection bias, the results show how the familial nature of the parent company favours specialization and reduces the level of the business group's diversification. In addition, we see that there are differences among family groups with respect to the concentration of their holdings in that a higher level of concentration increases the level of diversification in the family business group.

Source: BRQ Business Research Quarterly

DOI: 10.1016/j.brq.2015.09.001

Authors: Alejandro Hernández-Trasobares, Carmen Galve-Górriz

Institution: Universidad de Zaragoza

Language: English

Topic: Family Business Performance and Succession

Subfield: Organizational Behavior and Human Resource Management

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: diamond

Funders: Ministerio de Economía y Competitividad, Ministerio de Ciencia e Innovación, European Social Fund

Awards: G223367134, G308453463, G5303087532