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Founder Centrality, Management Team Congruence And Performance In Family Firms: A Kenyan Context

Author

Listed:
  • LOUISE KELLY

    (Marshall Goldsmith School of Management, Alliant International University, 10455 Pomerado Road, San Diego, CA 92131, USA)

  • PETER M. LEWA

    (United States International University, Nairobi, Kenya)

  • KINYUA KAMARIA

    (Marshall Goldsmith School of Management, Alliant International University, 10455 Pomerado Road, San Diego, CA 92131, USA)

Abstract

Applying social network theory to family business, founder centrality has been generally shown to positively affect top-management-team congruence and, as a consequence, firm performance. This study applies social network and strategic leadership theory to an examination of founder centrality in family businesses. It focuses on family businesses in Kenya, and examines the impact of the founder's influence on management team congruence in the three strategic areas of culture, vision, and goals. The discussion considers the research findings in Kenya of a negative influence of founder centrality on management team congruence and firm performance. The study concludes with a presentation of some possible reasons for this dynamic in developing countries like Kenya, where family business is prevalent, and in which the founder plays a central role.

Suggested Citation

  • Louise Kelly & Peter M. Lewa & Kinyua Kamaria, 2008. "Founder Centrality, Management Team Congruence And Performance In Family Firms: A Kenyan Context," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 13(04), pages 383-407.
    • Handle: RePEc:wsi:jdexxx:v:13:y:2008:i:04:n:s1084946708001046
    DOI: 10.1142/S1084946708001046
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    Citations

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    Cited by:

    1. Basco, Rodrigo, 2013. "The family's effect on family firm performance: A model testing the demographic and essence approaches," Journal of Family Business Strategy, Elsevier, vol. 4(1), pages 42-66.
    2. D’Allura, Giorgia Maria, 2019. "The leading role of the top management team in understanding family firms: Past research and future directions," Journal of Family Business Strategy, Elsevier, vol. 10(2), pages 87-104.
    3. Bari L. Bendell, 2022. "Environmental investment decisions of family firms—An analysis of competitor and government influence," Business Strategy and the Environment, Wiley Blackwell, vol. 31(1), pages 1-14, January.
    4. Bjursell, Cecilia, 2011. "Cultural divergence in merging family businesses," Journal of Family Business Strategy, Elsevier, vol. 2(2), pages 69-77, June.
    5. Barros, Ismael & Hernangómez, Juan & Martin-Cruz, Natalia, 2016. "A theoretical model of strategic management of family firms. A dynamic capabilities approach," Journal of Family Business Strategy, Elsevier, vol. 7(3), pages 149-159.
    6. Victoria Antin Yates & James M. Vardaman & James J. Chrisman, 2023. "Social network research in the family business literature: a review and integration," Small Business Economics, Springer, vol. 60(4), pages 1323-1345, April.

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