The Impact of Family Control on Corporate Strategic Change based on the Moderating Effect Innovation Atmosphere

Lebing Huang

doi:10.54097/hbem.v9i.9072

Authors

Lebing Huang

DOI:

https://doi.org/10.54097/hbem.v9i.9072

Keywords:

Family Control; Strategic Change; Innovation Atmosphere.

Abstract

Family control plays an important role in the strategic change of family businesses. Based on the research sample of listed family enterprises from 2010 to 2021, this paper explores the impact of family control on corporate strategic change and the moderating effect of innovation climate. The study finds that family control has a negative impact on corporate strategic change. Specifically, high family control will lead to social-emotional wealth, managerial short-sighted behavior, and "manager digging”, thereby reducing the degree of strategic change in family businesses. However, due to the impact of innovation investment on family control, a strong atmosphere of innovation will weaken the negative impact of family control on strategic change. The research enriches the factors influencing the strategic change of family enterprises, and is also referential to the development of enterprises.

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