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The role and impact of accounting in family business

Author

Listed:
  • Songini, Lucrezia
  • Gnan, Luca
  • Malmi, Teemu

Abstract

Why has accounting, one of the eldest disciplines in business, only recently started to consider family business, the prevalent form of economic organization in the world, as a relevant research context? What is the role of accounting in family business? Which accounting issues are relevant in family business? How are different accounting practices implemented in family business? And how do these practices affect various family business outcomes and dynamics? This article aims to answer these and other questions by focusing on three key family business characteristics: 1. involvement of the family in ownership, governance and management, 2. socioemotional wealth, and 3. succession. Given the distinctive features, aims and foci of financial and managerial accounting, the article points out that distinctive research questions, methodologies, and theoretical frameworks are needed to study financial and managerial accounting in a family business context. We suggest several topics in both financial and managerial accounting relevant to family business that can be explored by future research. In particular, we propose that managerial accounting represents an area in family business that requires increasing attention from accounting scholars.

Suggested Citation

  • Songini, Lucrezia & Gnan, Luca & Malmi, Teemu, 2013. "The role and impact of accounting in family business," Journal of Family Business Strategy, Elsevier, vol. 4(2), pages 71-83.
  • Handle: RePEc:eee:fambus:v:4:y:2013:i:2:p:71-83
    DOI: 10.1016/j.jfbs.2013.04.002
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Steijvers, Tensie & Niskanen, Mervi, 2014. "Tax aggressiveness in private family firms: An agency perspective," Journal of Family Business Strategy, Elsevier, vol. 5(4), pages 347-357.
    2. repec:spr:jmgtco:v:28:y:2018:i:4:d:10.1007_s00187-018-0260-6 is not listed on IDEAS
    3. Corten, Maarten & Steijvers, Tensie & Lybaert, Nadine, 2017. "The effect of intrafamily agency conflicts on audit demand in private family firms: The moderating role of the board of directors," Journal of Family Business Strategy, Elsevier, vol. 8(1), pages 13-28.
    4. Laura Broccardo & Elisa Giacosa & Francesca Culasso & Alberto Ferraris, 2016. "Budgeting process: an Italian survey in family and non-family firms," World Review of Entrepreneurship, Management and Sustainable Development, Inderscience Enterprises Ltd, vol. 12(2/3), pages 157-174.
    5. repec:spr:jmgtco:v:28:y:2018:i:4:d:10.1007_s00187-017-0254-9 is not listed on IDEAS
    6. repec:spr:jmgtco:v:28:y:2018:i:4:d:10.1007_s00187-018-0257-1 is not listed on IDEAS
    7. repec:fan:macoma:v:html10.3280/maco2018-001003 is not listed on IDEAS
    8. Santiago Lago-Peñas & Mercedes Mareque Álvarez-Santullano & Elena Rivo-López & Mónica Villanueva-Villar, 2017. "Determining factors for audit opinion in private family and non-family firms. Evidence from Spain," Working Papers. Collection C: Family business 1701, Universidade de Vigo, GEN - Governance and Economics research Network.
    9. Cuadrado-Ballesteros, Beatriz & Rodríguez-Ariza, Lázaro & García-Sánchez, Isabel-María, 2015. "The role of independent directors at family firms in relation to corporate social responsibility disclosures," International Business Review, Elsevier, vol. 24(5), pages 890-901.

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