IDEAS home Printed from https://ideas.repec.org/a/ids/ijcgov/v12y2021i2p105-123.html
   My bibliography  Save this article

Firm performance and managerial entrenchment: the case of Tunisian family firms

Author

Listed:
  • Wael Aguir
  • Iness Aguir
  • Wafa Khlif

Abstract

This study aims to verify empirically, in the case of a group of family firms in Tunisia, the effect of managerial entrenchment on firms' performance. The results of the principal component regression show that the entrenchment concept is well explained by two dimensions: 'experience capitalisation' and 'skills - belongings'. Both of these dimensions positively affect firms' performance, with the latter significantly so. The positive effect of experience capitalisation is thwarted by the old managers belonging to the same relational networks as the equity holders. Overall, we find support for our hypothesis that managerial entrenchment positively affects firm performance in the case of family firms. We also find that the relationship between entrenchment and performance seems to be nonlinear.

Suggested Citation

  • Wael Aguir & Iness Aguir & Wafa Khlif, 2021. "Firm performance and managerial entrenchment: the case of Tunisian family firms," International Journal of Corporate Governance, Inderscience Enterprises Ltd, vol. 12(2), pages 105-123.
    • Handle: RePEc:ids:ijcgov:v:12:y:2021:i:2:p:105-123
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=119271
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijcgov:v:12:y:2021:i:2:p:105-123. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=260 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.