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Why and when do family firms invest less in talent management? The suppressor effect of risk aversion

Author

Listed:
  • Rodrigo Basco

    (American University of Sharjah)

  • Thomas Bassetti

    (University of Padua)

  • Lorenzo Dal Maso

    (Alma Mater Studiorum – University of Bologna)

  • Nicola Lattanzi

    (IMT School for Advanced Studies Lucca)

Abstract

This article explores the complex relationship between family firms and talent management practices. We use an international sample of medium-sized manufacturing firms to show that the relationship between family-owned firms and investment in talent management practices is mediated by the firm's level of risk aversion, which is, in turn, moderated by industry competition. Risk-averse family-owned firms tend to invest less in talent management practices when industry competition is weak. In contrast, when competition increases, family-owned firms tend to invest in talent as much as non-family-owned firms do.

Suggested Citation

  • Rodrigo Basco & Thomas Bassetti & Lorenzo Dal Maso & Nicola Lattanzi, 2023. "Why and when do family firms invest less in talent management? The suppressor effect of risk aversion," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 27(1), pages 101-130, March.
    • Handle: RePEc:kap:jmgtgv:v:27:y:2023:i:1:d:10.1007_s10997-021-09599-1
    DOI: 10.1007/s10997-021-09599-1
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