Abstract
Family foundations are prevalent, but seldom have researchers examined its function and influence as an ownership vehicle for family businesses. This paper advances an institutionalized reference-point theory to explain family foundation's role on perpetuating family business. The theory posits that these foundations cultivate family members long-term commitment to corporate responsibility which enhances the identification and socio-economic wealth creation of business families. In a longitundinal study of public-listed family businesses (1996-2016) in Taiwan using survival analysis, the presence of family foundation not only itself promotes, but also, as a moderator, heightens the positive effect of family ownership on longevity of family firms. Qualitative evidence from interviewing professional accountants affirmed that family foundations strengthened the identification of members to the family businesses. Further, while their purpose was for charity and not control of the business, establishing the foundation shifted family members' orientation for the long-term, which resulted in longer survival.
Original language | English |
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Title of host publication | Proceedings of the Eighty-second Annual Meeting of the Academy of Management |
Editors | Sonja Taneja |
Number of pages | 1 |
Place of Publication | Briarcliff Manor, NY |
Publisher | Academy of Management |
Publication date | 2022 |
Pages | 3727 |
DOIs | |
Publication status | Published - 2022 |
Event | The Academy of Management Annual Meeting 2022: Creating a Better World Together - Seattle, United States Duration: 5 Aug 2022 → 9 Aug 2022 Conference number: 82 https://2022.aom.org/ |
Conference
Conference | The Academy of Management Annual Meeting 2022 |
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Number | 82 |
Country/Territory | United States |
City | Seattle |
Period | 05/08/2022 → 09/08/2022 |
Internet address |
Series | Academy of Management Proceedings |
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ISSN | 0065-0668 |