Family firms, R&D, and internationalization: the stewardship and socio-emotional wealth perspectives

• Published in: Asia Pacific journal of management Vol. 38; no. 1; pp. 91 - 119
• Main Authors: Lin, Wen-Ting, Wang, Linda C.
• Format: Journal Article
• Language: English
• Published: New York Springer US 01-03-2021; Springer; Springer Nature B.V
• Subjects: Business and Management; Domestic relations; Family corporations; Family owned businesses; Family-owned business enterprises; Globalization; High technology industry; Information management; Management; R&D; Research & development; Taiwan; R&D; Innovation; Family firms; Asia; Taiwan; Stewardship theory; Socio-emotional wealth theory; Internationalization
• ISSN: 0217-4561; 1572-9958
• DOI: 10.1007/s10490-018-9636-2

This study draws on stewardship theory and socio-emotional wealth theory to postulate the moderating impact of family ownership on the relationship between research and development (R&D) and firm internationalization. In particular, it focuses on how the relationship between R&D and internationalization differs between family firms managed by a CEO who is a family member and family firms that are managed by a CEO from outside of the family. Based on longitudinal data gathered from 2000 through 2006 from 179 publicly listed high-tech firms in Taiwan, the results reveal that family CEOs further positively moderate the positive relationship between R&D and firm internationalization, while the moderating effect of non-family CEOs proved weaker regarding R&D and firm internationalization.