The Influence Of Family Control On Firm's Performance

Since the family business has become an independent research field,the topic of how the control of the ownership and management of the enterprise will have an impact on the performance of the enterprise attracts the attention of the academic community.The research on the direct relationship between the two is rich,but it is also controversial.The impact of family control on firm performance is a recognized conclusion,but it is necessary to explore the family control of the intermediary mechanism that affects enterprise performance.Based on the previous research results,this paper points out the breakthrough point of the research intermediary mechanism in the family business behavior choice.Combined with the social emotional wealth theory and the reality of the behavior of family business,select charitable donations as a family control on the impact of corporate performance intermediary.This paper argues that charitable donation is a high discretion of the enterprise,to explore whether the family through charitable donation behavior decision-making and thus affect the performance of enterprises,can more dialysis of the essence of the family business.Based on the theory of social emotional wealth,this paper explores the mechanism and influence path of family control on enterprise performance based on the study of "family control--charity donation--enterprise performance".In the course of this study,the following questions will be theoretical and empirical answers:First,the direct relationship between family control and corporate performance;secondly,how the family affects charitable donation behavior decisions with non-economic characteristics;Third,the family business charitable donations can bring economic benefits.To this end,this paper builds a five-year low-profile listed family business non-balanced panel database for empirical testing.The main conclusions are as follows:(1)The two dimensions of family control are positively correlated with firm performance;(2)Family ownership is positively related to corporate charitable donation;(3)Corporate charitable donations to family and business performance Relations play a part of the intermediary role.This paper does not find that the family management has a significant impact on the charitable donation of family business,so charitable donations are also not part of the relationship between family management and corporate performance.According to the conclusion of this paper,the development of three points on the management of the revelation: First,the family business should be reasonable control of the management of the level of involvement;Second,the family business charitable donation decision to the strategic and institutional level;Finally,the family business To build on the board of directors to improve the integrity of the corporate governance structure.The possible innovation of this paper is mainly reflected in the selection of theoretical point of view and breakthrough point.In this paper,the theory of social emotional wealth was fully analyzed,and how to apply it to this subject.The introduction of charitable donations as a mediator variable not only in the theoretical level to achieve a breakthrough,but also close to the reality of the way so that everyone on the family business have some new knowledge.