Digital innovations are crucial for firms operating in traditional industrial-age industries to survive. However, achieving digital innovations is still a relevant managerial challenge for all firms, including family firms. Based on a longitudinal sample of 364 family and non-family firms from the automotive and industrial engineering industries, observed from 2013 to 2020, we reveal that family firms show better digital innovation performances than non-family firms. We then account for heterogeneity among family firms and, drawing from construal level theory, we propose and find that family firms controlled by later generations show higher digital innovation performances, whereas the presence of a family CEO harms these performances. The positive relationship between later generations and digital innovation performances is negatively moderated by a larger TMT. Our study holds important implications for family owner-managers interested in achieving digital innovations and is the first empirical study adopting construal level theory in the family business literature.
Next Generations and Family CEO as drivers of Digital Innovation in Family Firms: Does the TMT-Size also Matter?
Paolo Capolupo;
2023-01-01
Abstract
Digital innovations are crucial for firms operating in traditional industrial-age industries to survive. However, achieving digital innovations is still a relevant managerial challenge for all firms, including family firms. Based on a longitudinal sample of 364 family and non-family firms from the automotive and industrial engineering industries, observed from 2013 to 2020, we reveal that family firms show better digital innovation performances than non-family firms. We then account for heterogeneity among family firms and, drawing from construal level theory, we propose and find that family firms controlled by later generations show higher digital innovation performances, whereas the presence of a family CEO harms these performances. The positive relationship between later generations and digital innovation performances is negatively moderated by a larger TMT. Our study holds important implications for family owner-managers interested in achieving digital innovations and is the first empirical study adopting construal level theory in the family business literature.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
