Presentation1 For Family Business

FOUNDING FAMILY OWNERSHIP AND FIRM PERFORMANCE: EVIDENCE FROM THE S&P 500 BY RONALD C. ANDERSON AND DAVID M. REEB
BY:
ELEONORA
KARAN RANKA
SHALOO AGGARWAL

FOUNDING FAMILY OWNERSHIP AND FIRM PERFORMANCE

HOW DO WE IDENTIFY FAMILY FIRMS?
SAMPLE FOR INVESTIGATION?

ADVANTAGES OF FAMILY OWNERSHIP.
DISADVANTAGES OF FAMILY OWNERSHIP.

ACTIVE FAMILY CONTROL VS. PASSIVE FAMILY CONTROL

FOUR MAIN ISSUES OF INVESTIGATION :
Profitability and valuation.
Younger and older family firm.
Performance/ownership relation linear over all ranges of family holding?
Level of involvement of family memebers, eg- CEO.

CONCLUSION:
Family ownership is both prevalent and substantial.
Family firms do perform better than non family firms.
Relation between family firms and firm performance is non-linear
Performance enhanced when CEOS are family members.
Family ownership is infact an effective organisational structure and minority shareholders are not adversely affected by it.

“… a man that doesn't spend time with his family can never be a real man.” -DON CORLEONE, GODFATHER, 1972

QUESTIONS PLEASE!

Presentation1 For Family Business

by guestd26d34 on Mar 09, 2010

Accessibility

Upload Details

Usage Rights

Statistics

Presentation1 For Family Business — Presentation Transcript