Abstract
Purpose – The purpose of this paper is to examine how the familiar character of the firm affects its size and performance. Specifically, if the confluence of business and family dimensions affects their chances of survival. Design/methodology/approach – With data from 581 family, small to medium-sized enterprises (SMEs), the possible negative relationship between family, on the one hand, and size and performance, on the other hand is analyzed. First, the authors made a cluster analysis which distinguishes four groups attending the source of management, family next to external, and the generation, first against the rest. In addition, the authors contrast the existence of non-linear adjustment through quadratic regressions. Findings – Cluster analysis shows that the firms with family management in first generation are the ones with smaller size and worse performance. Regression analysis contrasts the negative relationship, but exclusively linear in nature. For all companies, regardless of the familiar chara...
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