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The Role of Behavioral Strategic Controls in Family Firm Innovation

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  • Lin-Ching Hsu
  • Hae-Ching Chang

Abstract

This study investigates the role of behavioral strategic controls in the relationships between ownership, generational involvement and innovation in family firms. Drawing on social capital theory, we examine how family ownership and generational involvement influence the use of behavioral strategic controls, and how behavioral strategic controls in turn affect family firm innovation. We use multiple regression analysis to test our hypotheses in a sample of 124 managers from Taiwanese family firms. The results show that family ownership is significantly related to the use of behavioral strategic controls that, in turn, have a significantly positive effect on family firm innovation. However, the results also show that multi-generational involvement in a business is not significantly related to the use of behavioral strategic controls.

Suggested Citation

  • Lin-Ching Hsu & Hae-Ching Chang, 2011. "The Role of Behavioral Strategic Controls in Family Firm Innovation," Industry and Innovation, Taylor & Francis Journals, vol. 18(7), pages 709-727, October.
  • Handle: RePEc:taf:indinn:v:18:y:2011:i:7:p:709-727
    DOI: 10.1080/13662716.2011.604474
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    File URL: http://hdl.handle.net/10.1080/13662716.2011.604474
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    Cited by:

    1. Matthias Filser & Alexander Brem & Johanna Gast & Sascha Kraus & Andrea Calabrò, 2016. "Innovation In Family Firms — Examining The Inventory And Mapping The Path," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(06), pages 1-39, August.
    2. repec:kap:sbusec:v:50:y:2018:i:1:d:10.1007_s11187-017-9884-4 is not listed on IDEAS
    3. Hatak, Isabella & Kautonen, Teemu & Fink, Matthias & Kansikas, Juha, 2016. "Innovativeness and family-firm performance: The moderating effect of family commitment," Technological Forecasting and Social Change, Elsevier, vol. 102(C), pages 120-131.
    4. Röd, Irina, 2016. "Disentangling the family firm’s innovation process: A systematic review," Journal of Family Business Strategy, Elsevier, vol. 7(3), pages 185-201.
    5. Hauck, Jana & Prügl, Reinhard, 2015. "Innovation activities during intra-family leadership succession in family firms: An empirical study from a socioemotional wealth perspective," Journal of Family Business Strategy, Elsevier, vol. 6(2), pages 104-118.
    6. repec:eee:reveco:v:51:y:2017:i:c:p:82-98 is not listed on IDEAS

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