CEP News: Campden FB: FB roundup: Rothschild, Berkshire, and family firm management Family firms have worse management practices, says study: New research has shown that second-generation family chief executives tend to exhibit poorer management practices, and that their firms suffer as a result.

Campden FB:
FB roundup: Rothschild, Berkshire, and family firm management Family firms have worse management practices, says study: New research has shown that second-generation family chief executives tend to exhibit poorer management practices, and that their firms suffer as a result.

1 March 2018

All in the Family? CEO Choice and Firm Organization, by the Centre for Economic Performance at the London School of Economics, is the first study showing a causal link between dynastic family firms and poorer performance. “Although there is mixed evidence on whether family ownership is a good thing, the weight of the evidence is that dynastic family CEOs are usually bad news for productivity,” writes researcher Daniela Scur in her summary of the study, which looked at more than 800 companies around the world.

Related publications

'Family firms: the problem of second-generation bosses', Renata Lemos and Daniela Scur. Article in CentrePiece Volume 23, Issue 1, Spring 2018

Campden FB:FB roundup: Rothschild, Berkshire, and family firm management Family firms have worse management practices, says study: New research has shown that second-generation family chief executives tend to exhibit poorer management practices, and that their firms suffer as a result.

Campden FB:
FB roundup: Rothschild, Berkshire, and family firm management Family firms have worse management practices, says study: New research has shown that second-generation family chief executives tend to exhibit poorer management practices, and that their firms suffer as a result.