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How does an intra-family succession effect strategic change and performance in China’s family firms?

Author

Listed:
  • Jing Zhao

    (Renmin University of China)

  • Michael Carney

    (Concordia University)

  • Shubo Zhang

    (The Chinese University of Hong Kong)

  • Limin Zhu

    (Renmin University of China)

Abstract

Motivated by the sparse literature on succession dynamics in China and other transitional markets we consider the effects of initiating an intra-family leadership succession on firm strategic change and performance on a sample of publicly listed family firms from China. Grounded in upper echelons theory we find that the initiation of a succession process leads to significant strategic change. Based on generational differences between founders and successors we find the succession-strategic change relationship is positively moderated by a successor’s international education. We also consider the strategic change to performance relationship.

Suggested Citation

  • Jing Zhao & Michael Carney & Shubo Zhang & Limin Zhu, 2020. "How does an intra-family succession effect strategic change and performance in China’s family firms?," Asia Pacific Journal of Management, Springer, vol. 37(2), pages 363-389, June.
    • Handle: RePEc:kap:asiapa:v:37:y:2020:i:2:d:10.1007_s10490-018-9568-x
    DOI: 10.1007/s10490-018-9568-x
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