Founder- and Heir-Controlled Firms: Is There a Connection Between Transparency and Performance?

Matherne, Brett P.
August 2009
Academy of Management Perspectives;Aug2009, Vol. 23 Issue 3, p97
Academic Journal
The article focuses on a study by Ronald Anderson of American University, Augustine Duru of American University, and David Reeb of Temple University, on corporate transparency in publicly traded founder and family-controlled business enterprises. The researchers created an opacity index which was based on various proxies, including stock trading volume and analyst forecasting errors, to examine the role of founder and heir ownership on transparency as well as the influence that the chief executive officer (CEO) has.


Related Articles

  • La composición del consejo de administración y la estructura accionaria como factores explicativos de la transparencia en el gobierno corporativo en Latinoamérica: evidencia en empresas cotizadas de Argentina, Brasil, Chile y México. del Carmen Briano Turrent, Guadalupe; Saavedra García, María Luisa // Estudios Gerenciales;Jul-Sep2015, Vol. 31 Issue 136, p275 

    The objective of this paper is to obtain empirical evidence of the relationship between board structure, ownership composition, and the level of corporate governance transparency in the largest listed companies of Latin America. A correlational study was conducted with a longitudinal analysis...

  • Investing in Future Generations: Evolution of the Business Skills Trust. Gallo, Eileen // Journal of Financial Planning;Jun2013, Vol. 26 Issue 6, p44 

    The author observes that only a small proportion of family businesses survive intact one or two generations beyond the founder, and discusses how a business skills trust (BST) can be used to mitigate the impact on a business of transition from one generation to the next. Commentary is presented...

  • Running of the bulls. Khasru, B. Z. // Fairfield County Business Journal;11/27/2000, Vol. 39 Issue 48, p14 

    Reports on the stock market forecasts for the year 2001 made by Bob Zuccaro, president of the Wilton, Connecticut-based Target Investors Inc.'s Grand Prix Fund. Possible increase in the Standard & Poor's 500 index; Role of corporate earnings in guiding the market's direction; Impact of the...

  • Family Control and Leverage: Australian Evidence. Harijono // International Proceedings of Economics Development & Research;2012, Vol. 43, p156 

    This paper investigates whether leverage of family controlled firms differs from that of nonfamily controlled firms. Using data from publicly listed industrial firms in Australia traded over 1998 to 2002, family controlled firms appear to have higher levels of leverage than non-family...

  • All in the family. Herbst, Pauline // New Zealand Management;Nov2009, Vol. 56 Issue 10, p62 

    An interview with Reinhard Zinkann, the managing director and co-proprietor of German manufacturer Miele. When asked about his management style, he responds that it is very open and that it was the company's culture. He claims that issues among family members results in uncertainty and fear...

  • Transparency and Financing Choices of Family Firms. Chen, Tai-Yuan; Dasgupta, Sudipto; Yu, Yangxin // Journal of Financial & Quantitative Analysis;Apr2014, Vol. 49 Issue 2, p381 

    While recent literature documents that U.S. family firms differ markedly from their nonfamily counterparts, there is a paucity of evidence on how these firms differ in terms of their cost of capital or financial structure. In this paper, we show that family and nonfamily firms differ in their...

  • Eight Tips for Creating a Family-Business Succession Plan. Bagell, Carl H. // New Jersey CPA;Jul/Aug2013, Issue 40, p12 

    The article presents eight tips which can be considered for the creation of succession plan for a family business. Topics discussed include the dependance of the viability of a succession plan on the way emotions are being handled, the prevention of the negative financial consequences, and the...

  • Family Control, Socioemotional Wealth, and Governance Environment: The Case of Bribes. Ding, Shujun; Qu, Baozhi; Wu, Zhenyu // Journal of Business Ethics;Jul2016, Vol. 136 Issue 3, p639 

    This study examines the relationship between family control and young entrepreneurial firm's bribing behavior around the globe. Relying on over 2,000 young firms from the World Bank Environment Survey, we find that family control helps to reduce a firm's bribery behavior, but further...

  • Euro Value. Morais, Richard C. // Forbes Asia;10/5/2009, Vol. 5 Issue 15, p36 

    The article focuses on the growth in the European stock markets. It states that Germany and France reported positive economic growth in the second quarter of 2009, and dividend yields in Europe are roughly double those of the U.S. According to Dean Tenerelli, manager of T. Rowe Price's European...


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics