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Research Article Open access CC BY 4.0

Are Family Firms Really More Long-Term Oriented? Evidence from China

Lihong Song, Qiang Liang, Yaoqi Li

Journal of Economics, Management and Trade · pp. 1–9 · Published 19 Aug 2015

10.9734/BJEMT/2015/20200

Abstract

Long-term orientation is often regarded as the reason why family firms excel non-family firms. However, there are very few empirical studies. This article examined whether and when family firms were more long-term oriented, employing 1980 firms from Chinese Private Enterprise Survey. The results show that family ownership does not necessarily lead to firm long-term oriented behaviors. Only in those family firms with succession intention and greater family control intention, family ownership could significantly promote more long-term oriented investments.

Family firm long-term orientation family succession intention

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