The Role of Family Business and Its Distinctive Characteristic Behavior in Industrial Activity

Authors

  • Miguel Angel Gallo

    1. Holds the Family Business Chair and is professor ordinario of strategic management, Institute de Estudios Superiores de la Empresa, University of Navarra, Barcelona, Spain.
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Abstract

This article presents the findings of a research study conducted in the Spanish food and beverage industry. The objective of the research was to expand upon and clarify the knowledge available on the role family businesses play in the economy and to understand the possible behavioral differences when we compare them to non-family businesses. The results show that the family business has more difficulty in reaching the same size as a non-family business within a similar time span. Reduced risk levels, high equity control, and a tendency to be closed to outsiders are possible causes of the difficulties family businesses experience in maintaining faster growth rates.

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