Dispersion of Family Ownership and Innovation Input in Family Firms

Innovation is an investment in future growth and development, it critical for family businesses to maintain a competitive advantage. Different types of innovation inputs have different uncertainties, advantages, risks. Product process are two distinct that necessitate significantly organizational resource allocation risk taking. Ownership the source decision-making authority, dispersion intra-family ownership influence goal preferences, taking, allocation. We investigate effect on decision preferences unique by distinguishing between product innovations. The greater concentration within family, more likely proportion input higher than input. further discuss moderating effects both directors collective mode decisions firms. Using sample 882 Chinese small- medium-sized firms from 2015 All-China Federation Industry Commerce, we find support these proposed relationships. implications findings extend business research.