Internationalization and Performance in Family Firms: The Moderating Effect of Family Succession Intention and Political Ties

Abstract

Abstract:

This paper aims to explore the relationship between internationalization and the performance of family firms, and to examine the moderating effect of family succession intention, political ties in this relationship. Drawing on the data of manufacturing family firms in Zhejiang province and Chongqing municipality, it yields the following conclusions:firstly, with internationalization degree constantly increases, the performance of family firms shows an inverted U-shaped relationship; secondly, the relationship between internationalization and the performance of family firms is positively moderated by family succession intention and political ties. That is, with family succession intention or political ties increases, the impact of internationalization on the performance of family firms becomes stronger. This paper provides a more nuanced understanding of the relationship between internationalization degree and performance in family firms, especially how family succession intention and political ties will affect it. Meanwhile, this paper can also serve as a reference for Chinese family firms to develop their internationalization strategy.

Key words: family firm, internationalization, firm performance, family succession intention, political ties

Zhou Lixin. Internationalization and Performance in Family Firms: The Moderating Effect of Family Succession Intention and Political Ties[J]. , 2019, 31(9): 159-168.

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