Do Managerial Entrenchment and High Free Cash Flow Always Have a Negative Impact?

Presence of free cash flow and anti-takeover provisions are often symptomatic agency problem in a firm. We argue that this relationship is likely to be mediated by motivations the management. Extant family firm research suggests management firms more focus on long-term performance motivated desire build legacy attain longevity. This study finds whereas average for non-family firm, both negatively related performance, flips case firms. find increased defenses high superior