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Management control systems, business strategy and performance: A comparative analysis of family and non-family businesses in a transition economy in sub-Saharan Africa

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  • Acquaah, Moses

Abstract

This article compared the relationships among management control systems (MCS), business strategy and firm performance in family businesses (FBs) and non-family businesses (NFBs) in the context of a transition economy in sub-Saharan Africa that has not been previously studied – Ghana. The findings indicated that the influence of MCS on business strategy is contingent on whether the firm is a FB or NFB. The influence of (i) DCS on the cost leadership strategy is stronger for NFBs than FBs; (ii) ICS on the differentiation strategy is stronger for FBs than NFBs; and (iii) the dynamic tension created by the joint use of DCS and ICS on both the cost leadership and differentiation strategies is stronger for FBs than NFBs. Moreover, business strategy mediates the MCS-performance relationships; however, both the indirect and total impacts of MCS on performance are stronger for FBs than NFBs.

Suggested Citation

  • Acquaah, Moses, 2013. "Management control systems, business strategy and performance: A comparative analysis of family and non-family businesses in a transition economy in sub-Saharan Africa," Journal of Family Business Strategy, Elsevier, vol. 4(2), pages 131-146.
  • Handle: RePEc:eee:fambus:v:4:y:2013:i:2:p:131-146
    DOI: 10.1016/j.jfbs.2013.03.002
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    References listed on IDEAS

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    1. repec:spr:jmgtco:v:28:y:2018:i:4:d:10.1007_s00187-018-0255-3 is not listed on IDEAS
    2. repec:spr:jmgtco:v:28:y:2018:i:4:d:10.1007_s00187-018-0257-1 is not listed on IDEAS
    3. repec:fan:macoma:v:html10.3280/maco2018-001003 is not listed on IDEAS

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