CEO Tenure and Entrepreneurial Orientation within Family and Nonfamily Firms

J. Ruben Boling · Torsten Michael Pieper · Jeffrey G. Covin

225 citations0/0 files storedEntrepreneurship Theory and Practice

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Family Business Performance and Succession Entrepreneurship Studies and Influences Firm Innovation and Growth

Abstract

The current research investigates how entrepreneurial orientation changes during a chief executive officer (CEO)'s tenure in family and nonfamily firms. Based on secondary data collected from 210 firms representing five industries, the results show an inverse U–shaped relationship between CEO tenure and entrepreneurial orientation, consistent with the executive life cycle literature. Moreover, in family firms the shape of the inverse U is less pronounced and the level of entrepreneurial orientation peaks considerably later in the CEO's tenure when compared with nonfamily firms.

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References

1984Upper Echelons: The Organization as a Reflection of Its Top Managers 1996Clarifying the Entrepreneurial Orientation Construct and Linking It To Performance 1984Upper Echelons: The Organization as a Reflection of Its Top Managers 1989Strategic management of small firms in hostile and benign environments 1983The Correlates of Entrepreneurship in Three Types of Firms 2003Founding‐Family Ownership and Firm Performance: Evidence from the S&P 500 2007Upper Echelons Theory: An Update 2007Socioemotional Wealth and Business Risks in Family-controlled Firms: Evidence from Spanish Olive Oil Mills

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