Does intergenerational leadership hinder the realization of innovation potential? A resource orchestration perspective

Abstract

This study examines the impact of intergenerational leadership on innovative capability and business performance. Applying a resource orchestration perspective to data from 531 family businesses in China, the results suggest that innovative capability is positively related to growth performance of family businesses. Furthermore, family businesses in solo control by one generation demonstrate a higher positive relationship between innovative capability and performance than those jointly controlled by two generations. This suggests that intergenerational leadership hampers the realization of the potential of innovation.

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