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Introduction: Presenting the Case for Studying the Emergence and Development of Family Business Groups Read chapter Read first chapter

2019 | OriginalPaper | Chapter

11. Governance in Family Business Groups: Resolving Multiple Contingencies to Sustain Entrepreneurial Capability

Authors : Sanjay Goel, Tuuli Ikäheimonen, Marita Rautiainen

Published in: The Family Business Group Phenomenon

Publisher: Springer International Publishing

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Abstract

Family business groups (FBGs) are ubiquitous throughout the world. FBGs also pose unique governance issues that merit attention in order to explain FBGs’ evolution and longevity, as well as to understand FBGs’ performance on a variety of dimensions. In this chapter, we develop a framework to highlight the governance issues in FBGs, starting from understanding governance as managing goal congruence among different stakeholders and recognizing the owning family as an entrepreneurial entity. We suggest that an optimal FBG governance system involves a dynamically contingent system, based on managing complexity at both macro and micro levels, and that optimal governance in an FBG protects and enhances the capability of the owners to be entrepreneurial and construct opportunities from its environment. Based on our exposition, we provide several directions in which to advance research in this area.

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previous chapter Deciphering Ownership of Family Business Groups
next chapter The Contribution of Family Business Groups to the Local Innovation Environment
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Metadata
Title
Governance in Family Business Groups: Resolving Multiple Contingencies to Sustain Entrepreneurial Capability
Authors
Sanjay Goel
Tuuli Ikäheimonen
Marita Rautiainen
Copyright Year
2019
Publisher
Springer International Publishing
Book
The Family Business Group Phenomenon

Print ISBN: 978-3-319-98541-1

Electronic ISBN: 978-3-319-98542-8

Copyright Year: 2019

DOI
https://doi.org/10.1007/978-3-319-98542-8_11