Abstract
Active academic research into family businesses (FBs) consistently indicates that FBs perform better and have sounder financial structures than non–family businesses (NFBs), across time and various nations. However, conventional wisdom once held that these performance benefits did not apply to Japanese FBs, and currently general opinion suggests it is not true in China. This chapter therefore undertakes a precise investigation of Chinese listed companies to compare FBs with NFBs. In China too, FBs perform better than NFBs in terms of profitability and liquidity, though not with regard to long-term indebtedness. Moreover, FBs that fall under strong family control perform better than those with weak levels, in terms of profitability, liquidity and indebtedness.
Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
