Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
1019482 | Journal of Business Venturing | 2011 | 11 Pages |
Abstract
This study examines decision making criteria that are employed by private equity (PE) investors selecting family firms. Hypotheses test the likelihood of investment based on family firm characteristics. Findings show that PE professionals take into account family-specific criteria, including human resources and opportunities to reduce agency costs. Furthermore, PE professionals prefer family firms that are already professionalized. This research contributes to the family firm literature on both a theoretical and a methodological level, exploring nonfamily succession routes and employing techniques— conjoint analysis for data collection and multilevel models for data analysis— that have seldom been used in this context.
Related Topics
Social Sciences and Humanities
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Authors
Alexandra Dawson,