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Overseas experience and corporate innovation: Second-generation successors in family enterprises

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  • Chen, Yaozhi
  • Wei, Honghong

Abstract

We examine the impact of overseas experiences on second-generation successors in family enterprises from a cultural learning perspective. By manually curating data, we find that these successors significantly enhance both the quantity and quality of corporate innovation. Mechanism tests indicate that overseas experiences, through cultural learning, enhance risk-taking, confidence, and reduce seniority culture, fostering innovation. Furthermore, heterogeneity tests show that while these experiences hinder innovation in company locations with strong Confucian culture, they enhance it with high social openness. The results remain robust under a series of robustness and endogeneity tests.

Suggested Citation

  • Chen, Yaozhi & Wei, Honghong, 2025. "Overseas experience and corporate innovation: Second-generation successors in family enterprises," Emerging Markets Review, Elsevier, vol. 68(C).
    • Handle: RePEc:eee:ememar:v:68:y:2025:i:c:s1566014125000858
    DOI: 10.1016/j.ememar.2025.101336
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    JEL classification:

    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • Z3 - Other Special Topics - - Tourism Economics

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