4.0 Article

Why are some family firms not innovative?: Innovation Barriers and Path Dependence in Family Firms

Journal

SCANDINAVIAN JOURNAL OF MANAGEMENT
Volume 38, Issue 1, Pages -

Publisher

ELSEVIER SCI LTD
DOI: 10.1016/j.scaman.2021.101182

Keywords

Family firms; Innovation; Path dependence; Barriers; Past; History

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This study focuses on the family-specific barriers to innovation in family firms, using path dependence theory as the theoretical framework. Qualitative approach is used due to limited existing theory, and a sample of four family businesses in Spain and Uruguay are studied. The study concludes with propositions and theoretical contributions arising from the research.
Although scholars have recognized the importance of innovation in family firms, the literature on family firm innovation tends to generally depict family firms as either 'good' or 'bad' for innovation, or focus on the factors with the potential to positively stimulate family firm innovation. Drawing on path dependence theory, this study focuses specifically on what family-specific barriers work against innovation in family firms. To that end, we follow a qualitative theory-building approach due to the limited amount of extant theory, and study a sample of four family businesses headquartered in Spain and Uruguay. The related propositions and theoretical contributions emerging from our study are shared in the concluding section.

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