Family business socio-emotional preferences are often Janus-faced. Some strive to create a strong business they can pass on to offspring by building innovation-promoting resources such as human, relational, and financial capital. Other family firms cater to family desires for unqualified nepotism, altruism towards undeserving kin, and appropriation of firm assets to fulfill parochial desires that erode these resources. This article explores how such preferences, together with their impact on resources and the innovation demands of their markets, shape the approach to innovation.
- © 2015 by The Regents of the University of California. All rights reserved. Request permission to photocopy or reproduce article content at the University of California Press's Rights and Permissions web page, http://www.ucpress.edu/journals.php?p=reprints, or via email: .