Abstract
This paper analyzes the relationship between family involvement and a firm’s growth. Family businesses present unique features, which make them different from other companies. Therefore, their desire to achieve long-term growth and/or survival could be motivated by different reasons from those of non-family firms. One of the possible strategic alternatives to guarantee these long-term objectives is the internationalization strategy. The empirical study carried out is quantitative research based on the partial least squares (PLS) methodology. The study population comprises Spanish wine and olive oil production companies. Our results show how economic reasons account for the relationship between family involvement in the business and achievement of their growth. Likewise, we find that, depending on their international propensity as moderating variable, the mediation effect of the underlying business economic motivations is total for non-international firms, whereas that effect is a partial one if the firms have become international.
Résumé
Ce travail analyse la relation entre l'implication familière et la croissance patronale. L'entreprise familiale présente des caractéristiques uniques qui la distinguent d'autres types d`organisation. Par exemple, l’objectives de croissance à long terme et (ou) de survie pourrait être motivé par des raisons bien différentes de celles des entreprises non familiales. L'une des stratégies possibles pour garantir ces objectifs à long terme c`est l'internationalisation. Notre échantillon est composé de 418 entreprises espagnoles productrices d'huile d'olive et de vin. En utilisant la méthodologie moindres carrés partiels (PLS), on constate que les raisons économiques expliquent la relation entre l'implication des membres de la famille dans l'entreprise et la croissance de la même. Plus particulièrement, nous trouvons que, on utilisant la propension internationale comme variable modératrice, l'effet médiateur des motifs économiques est total dans les entreprises pas familières tandis que l`effet est partiel si les entreprises sont internationales.
Resumen
Este trabajo analiza la relación entre la implicación familiar y el crecimiento empresarial. La empresa familiar presenta unos rasgos únicos que la diferencian de otras compañías. Por lo tanto, su deseo crecer a largo plazo y/o de sobrevivir podría motivarse por razones bien distintas a las de las empresas no familiares. Una de las estrategias posibles para garantizar estos objetivos a largo plazo es la de internacionalización. El estudio empírico realizado es cuantitativo basado en la metodología de Mínimos Cuadrados Parciales (PLS). La población objeto de estudio comprende empresas españolas productoras de aceite de oliva y vino. Nuestros resultados muestran cómo las razones económicas explican la relación entre la implicación familiar en la empresa y el logro del crecimiento. Así, encontramos que, dependiendo de la propensión internacional como variable moderadora, el efecto mediador de los motivos económicos es total en las empresas no familiares mientras que es parcial si las empresas son internacionales.
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19 May 2021
A Correction to this paper has been published: https://doi.org/10.1007/s10843-021-00298-4
Notes
“Totally Mediation = Full Mediation: a situation in mediation analysis that occurs when the mediated effect is significant but not the direct effect. Hence, the mediator variable totally explains the relationship between an exogenous and an endogenous latent variable.” (Hair et al. 2017, p. 317).
“Partial mediation: occurs when a mediator variable partially explains the relationship between an exogenous and an endogenous construct.” (Hair et al. 2017, p. 324).
Several indicators loaded between 0.40 and 0.70, indicating that they might otherwise be considered for removal based on the CR and AVE. However, because the CR and AVE exceeded the threshold, we concluded that the removal of indicators from the model with loadings 0.40–0.70 was unnecessary.
We thank one of or our anonymous reviewers for this insightful suggestion.
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Acknowledgements
We highly appreciate the financial support from the Chair of Family Business of the University of Jaén, from MCIU/AEI/FEDER-UE under Grant no. RTI2018-097579-B-100 and from the UPV/EHU (GIU19/057). We also thank two anonymous reviewers for their helpful comments that greatly improved the manuscript.
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Cano-Rubio, M., Fuentes-Lombardo, G. & Sanchez-Famoso, V. Family involvement as influencer on family firm’s growth. J Int Entrep 19, 510–537 (2021). https://doi.org/10.1007/s10843-021-00290-y
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DOI: https://doi.org/10.1007/s10843-021-00290-y
Keywords
Mots clés
- Entreprise familière
- Croissance
- Internationalisation
- Implication familiale
- Motivations pour croître
- Survie
Palabras clave
- Empresa familiar
- Crecimiento empresarial
- Internacionalización
- Implicación familiar
- Motivos para crecer
- Supervivencia