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Experiencing Family Business Creation: Differences between Founders, Nonfamily Managers, and Founders of Nonfamily Firms

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  • Michael H. Morris
  • Jeffrey A. Allen
  • Donald F. Kuratko
  • David Brannon

Abstract

An experiential perspective for examining family business creation is introduced. As a “lived experience,†the family firm generates a cumulative series of interdependent events that takes on properties rooted in affect. The family business is a context that enables unscripted temporal performances by founders. Characteristics of the venture creation experience are examined, and underlying dimensions are proposed and empirically investigated. Building on social capital theory, differences in experiences between founders of family businesses, nonfamily managers, and founders of nonfamily ventures are explored. These differences are argued to have important implications for decision making and ongoing dynamics within the family firm.

Suggested Citation

  • Michael H. Morris & Jeffrey A. Allen & Donald F. Kuratko & David Brannon, 2010. "Experiencing Family Business Creation: Differences between Founders, Nonfamily Managers, and Founders of Nonfamily Firms," Entrepreneurship Theory and Practice, , vol. 34(6), pages 1057-1084, November.
    • Handle: RePEc:sae:entthe:v:34:y:2010:i:6:p:1057-1084
    DOI: 10.1111/j.1540-6520.2010.00413.x
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    References listed on IDEAS

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    Cited by:

    1. Bee, Colleen & Neubaum, Donald O., 2014. "The role of cognitive appraisal and emotions of family members in the family business system," Journal of Family Business Strategy, Elsevier, vol. 5(3), pages 323-333.
    2. Reilly, Timothy M. & Jones, Raymond, 2017. "Mixed methodology in family business research: Past accomplishments and perspectives for the future," Journal of Family Business Strategy, Elsevier, vol. 8(3), pages 185-195.
    3. Yang, Chaolin & Yan, Jingdong & He, Xiaodan & Tian, Shiqi, 2023. "What determines the survival of farmer entrepreneurship: Micro-evidence from China," International Review of Economics & Finance, Elsevier, vol. 86(C), pages 334-348.
    4. Tariq H. Malik, 2019. "Founder’s Apprehension in Small Family Business Succession in Thailand: Interpretative View of the Situational Distance," SAGE Open, , vol. 9(4), pages 21582440198, October.
    5. Evelyn Stommel & Nicole Gottschalck & Andreas Hack & Kimberly A. Eddleston & Franz Kellermanns & Nils Kraiczy, 2024. "What is Your Reference Point? How Price Volatility and Organizational Context Affect the Reference Points of Family and Nonfamily Managers," Small Business Economics, Springer, vol. 63(2), pages 805-829, August.
    6. Ramos, Hazel Melanie & Man, Thomas Wing Yan & Mustafa, Michael & Ng, Zuie Zuie, 2014. "Psychological ownership in small family firms: Family and non-family employees’ work attitudes and behaviours," Journal of Family Business Strategy, Elsevier, vol. 5(3), pages 300-311.
    7. Luís Marques & João J. Ferreira & Sascha Kraus & Raj Mahto, 2022. "Organizational Antecedents of Corporate Entrepreneurship: A Quantitative Investigation from Portugal," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 31(3), pages 483-513, November.
    8. David, Audretsch & Donald, Kuratko & Albert, Link, 2015. "Making Sense of the Elusive Paradigm of Entrepreneurship," UNCG Economics Working Papers 15-4, University of North Carolina at Greensboro, Department of Economics.
    9. Kimberly A. Eddleston & James J. Chrisman & Lloyd P. Steier & Jess H. Chua, 2010. "Governance and Trust in Family Firms: An Introduction," Entrepreneurship Theory and Practice, , vol. 34(6), pages 1043-1056, November.
    10. Badoiu, Georgiana Alexandra & Segarra-Ciprés, Mercedes & Escrig-Tena, Ana Belén, 2020. "Personal and organizational background of corporate entrepreneurs: new technology-based firm evidence," TEC Empresarial, School of Business, Costa Rica Institute of Technology (ITCR), vol. 14(2), pages 18-31.
    11. Donald Kuratko & Michael Morris & Minet Schindehutte, 2015. "Understanding the dynamics of entrepreneurship through framework approaches," Small Business Economics, Springer, vol. 45(1), pages 1-13, June.
    12. Laura J. Stanley, 2010. "Emotions and Family Business Creation: An Extension and Implications," Entrepreneurship Theory and Practice, , vol. 34(6), pages 1085-1092, November.
    13. Diego Norena-Chavez & Ruben Guevara, 2020. "Entrepreneurial Passion and Self-Efficacy as Factors Explaining Innovative Behavior: A Mediation Model," International Journal of Economics & Business Administration (IJEBA), International Journal of Economics & Business Administration (IJEBA), vol. 0(3), pages 352-373.
    14. Martin R.W. Hiebl & Zhen Li, 2020. "Non-family managers in family firms: review, integrative framework and future research agenda," Review of Managerial Science, Springer, vol. 14(4), pages 763-807, August.
    15. Paramita, Widya & Virgosita, Risa & Rostiani, Rokhima & Wibowo, Amin & Almahendra, Rangga & Junarsin, Eddy, 2022. "“I will not let you die”: The effect of anthropomorphism on entrepreneurs' resilience during economic downturn," Journal of Business Venturing Insights, Elsevier, vol. 17(C).
    16. Fabel, Oliver & Mináriková, Dana & Hopp, Christian, 2022. "Differences and similarities in executive hiring decisions of family and non-family firms," Journal of Family Business Strategy, Elsevier, vol. 13(2).
    17. Torsten M. Pieper & Anne D. Smith & Jerry Kudlats & Joseph H. Astrachan, 2015. "The Persistence of Multifamily Firms: Founder Imprinting, Simple Rules, and Monitoring Processes," Entrepreneurship Theory and Practice, , vol. 39(6), pages 1313-1337, November.
    18. Morgan, Timothy J. & Gomez-Mejia, Luis R., 2014. "Hooked on a feeling: The affective component of socioemotional wealth in family firms," Journal of Family Business Strategy, Elsevier, vol. 5(3), pages 280-288.
    19. Ng, Poh Yen & Dayan, Mumin & Di Benedetto, Anthony, 2019. "Performance in family firm: Influences of socioemotional wealth and managerial capabilities," Journal of Business Research, Elsevier, vol. 102(C), pages 178-190.

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