Abstract
A firm’s proactive risk taking is essential to sustaining a firm. Ownership structure is an important variable that purportedly determines risk taking. In relation to the most common ownership form around the world, existing literature suggests that family firms take less risk than non-family firms. However, family firms may differ in their risk preferences. To understand the drivers of family firm heterogeneity in risk taking, we leverage research on implicit theories to propose that family owners’ entity and incremental implicit theory orientations may influence risk taking. We then further consider several some key internal and external contingencies likely to influence the extent to which some family firms are likely to pursue risk taking based on their implicit theories.
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 callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
