Unveiling the global focus-performance relationship in family firms: The role of the board of directors

Drawing on the resource-based view, this study examines how board composition and board tasks affect the relationship between the firm’s global focus and performance in private family firms. Based on a sample of 234 Belgian private family firms, our empirical analyses reveal that nonfamily involveme...

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Bibliographic Details
Authors: Bauweraerts, Jonathan, Arzubiaga Orueta, Unai, Díaz Moriana, Vanessa
Format: article
Publication Date:2022
Country:España
Institution:Universidad del País Vasco
Repository:Addi. Archivo Digital para la Docencia y la Investigación
OAI Identifier:oai:addi.ehu.eus:10810/77257
Online Access:http://hdl.handle.net/10810/77257
Access Level:Open access
Keyword:board of directors
internationalization
performance
business and international management
finance
marketing
board tasks
family firms
global focus
Description
Summary:Drawing on the resource-based view, this study examines how board composition and board tasks affect the relationship between the firm’s global focus and performance in private family firms. Based on a sample of 234 Belgian private family firms, our empirical analyses reveal that nonfamily involvement in the board attenuates the negative relationship between the firm’s global focus and performance. Furthermore, our results show that the global focus-performance link turns positive at higher levels of board networking and advisory tasks, whereas board control task has no significant effect. Ultimately, these findings underscore the board of directors as a key governance contingency, highlighting its important role in overcoming the challenges of global expansion in private family firms.