Abstract
Research
in family businesses is relatively recent, and most often knowledge creation in
this area is limited to western countries. Although some scholars have provided
empirical assessments of family business practices in emerging economies, no
comprehensive picture is available on most aspects of family business. It is in
this context that this research is undertaken.
Family business succession is widely
studied. This paper addresses the topic by comparing the issue for India and
the United States. Our approach is unique in that we study business failures
between the countries, which avoids the resulting problems in the measurement
of financial performance. A business failure is rather unambiguous, no matter
how you measure the failure. We will compare the succession of Indian family
businesses and that of the U.S.A. We
will also draw the distinction of family business failures and “break-ups,”
especially with regard to India’s family groups and in America, where capital
markets more seamlessly accomplish stealth break-ups and provide family
diversification. Finally, this paper
will address an interesting market anomaly, namely that family businesses are
alleged to outperform purely public firms, but foreign capital invested in
India prefers firms with the least amount of family influence.
-Today |
551 |
 -Yesterday |
513 |
 -This Month |
23664 |
 -Last Month |
24473 |
 -All Days |
228220 |
IJBMS by IPRPD is licensed under a Creative Commons Attribution 4.0 International License.