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Family‐member and non‐family‐member managers in family businesses

Matthew C. Sonfield (Department of Management, Entrepreneurship and General Business, Hofstra University, Hempstead, New York, USA)
Robert N. Lussier (Department of Management, Springfield College, Springfield, Massachusetts, USA)

Journal of Small Business and Enterprise Development

ISSN: 1462-6004

Article publication date: 15 May 2009

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Abstract

Purpose

The purpose of this paper is to investigate, in a multi‐country context, the inclusion of family‐member managers and non‐family‐member managers in family businesses, and the relationship of this variable to certain management activities, styles and characteristics.

Design/methodology/approach

This four‐country study involved survey research and correlational testing of nine hypotheses. The four countries, Croatia, France, India and the USA, provided a mixture of entrepreneurial contexts. Given limited prior research in this area, this study is exploratory and broadly focused.

Findings

There was limited support for the relationship between the percentage of non‐family‐member managers and the nine management activities, styles and characteristics studied, both between and within countries. The strongest support was for the positive relationship between the percentage of non‐family managers and the use of sophisticated financial management methods.

Research limitations/implications

Inherent in the choice of countries are some variations among the four country samples. Future research can build on these findings with more focused studies in areas that seem worthy of further analysis.

Practical implications

This study, along with further research, should allow family business owner/managers to better understand the possible impacts of bringing non‐family managers into their firms. Family businesses may not need to be concerned that their firms will lose their “familiness” if they hire non‐family managers.

Originality/value

This study begins to fill a gap in the family business literature identified by prior researchers and, as noted above, creates a base for future research and for possible practical implications for family firm practitioners.

Keywords

Citation

Sonfield, M.C. and Lussier, R.N. (2009), "Family‐member and non‐family‐member managers in family businesses", Journal of Small Business and Enterprise Development, Vol. 16 No. 2, pp. 196-209. https://doi.org/10.1108/14626000910956010

Publisher

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Emerald Group Publishing Limited

Copyright © 2009, Emerald Group Publishing Limited

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