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Managerial Efficiency in Family Owned Firms in Pakistan - An Examination of Listed Firms

Author

Listed:
  • Rida Zaidi

    (LUMS)

  • Ahmad Aslam

Abstract

We examine a set of listed family firms through the means of a survey that seeks to understand the variations in the level of training, education and experience across this business form. We find great degree of concentration of family members in the top management in key critical positions. Other positions in the top management that involve technical knowledge are the ones that are left open to professionals (outside managers). However, most of the decision-making takes place within the milieu of the family. There is also a variation across firms in the level of importance according to formal training schemes, with some firms not having any access to training budgets. We find more democratic decision-making structures involving outsiders and regular training of management are key to superior performance among family firms for several reasons.

Suggested Citation

  • Rida Zaidi & Ahmad Aslam, 2006. "Managerial Efficiency in Family Owned Firms in Pakistan - An Examination of Listed Firms," Microeconomics Working Papers 22283, East Asian Bureau of Economic Research.
    • Handle: RePEc:eab:microe:22283
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    Cited by:

    1. Mehar, Ayub, 2008. "Business competitiveness in Muslim World: role of governance and higher education," MPRA Paper 11283, University Library of Munich, Germany.
    2. Javed Iqbal, 2012. "Stock Market in Pakistan," Journal of Emerging Market Finance, Institute for Financial Management and Research, vol. 11(1), pages 61-91, April.

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    More about this item

    Keywords

    family firms; training; education; experience;
    All these keywords.

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • D10 - Microeconomics - - Household Behavior - - - General
    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles

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