A3 Book section, chapters in research books

Governance in Family Business Groups: Resolving Multiple Contingencies to Sustain Entrepreneurial Capability

Open Access publication

Publication Details
Authors: Goel Sanjay, Ikäheimonen Tuuli, Rautiainen Marita
Editors of book: Rautiainen Marita, Rosa Peter, Pihkala Timo, Parada Maria José, Discua Cruz Allan
Publishing place: Cham
Publication year: 2018
Language: English
Title of parent publication: The Family Business Group Phenomenon - Emergence and Complexities
ISBN: 978-3-319-98541-1
eISBN: 978-3-319-98542-8
JUFO-Level of this publication: 3
Open Access: Open Access publication
Location of the parallel saved publication: http://urn.fi/URN:NBN:fi-fe201901293438


Family business groups (FBGs) are ubiquitous throughout the world. FBGs also pose unique governance issues that merit attention in order to explain FBGs’ evolution and longevity, as well as to understand FBGs’ performance on a variety of dimensions. In this chapter, we develop a framework to highlight the governance issues in FBGs, starting from understanding governance as managing goal congruence among different stakeholders and recognizing the owning family as an entrepreneurial entity. We suggest that an optimal FBG governance system involves a dynamically contingent system, based on managing complexity at both macro and micro levels, and that optimal governance in an FBG protects and enhances the capability of the owners to be entrepreneurial and construct opportunities from its environment. Based on our exposition, we provide several directions in which to advance research in this area.

Last updated on 2019-25-06 at 13:03