R&D Activities in Family Firms

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Author(s): Inna Sousa Paiva (Lusófona University of Humanities and Technology, Portugal)and Isabel Costa Lourenço (Lisbon University Institute (ISCTE-IUL), Portugal)
Copyright: 2015
Pages: 22
Source title: Handbook of Research on Internationalization of Entrepreneurial Innovation in the Global Economy
Source Author(s)/Editor(s): Luísa Cagica Carvalho (Instituto Politécnico de Setúbal, Portugal & CEFAGE - Universidade de Évora, Portugal)
DOI: 10.4018/978-1-4666-8216-0.ch016

Keywords: Business & Management / Business Science Reference / Entrepreneurship / Entrepreneurship & Innovation

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Abstract

This chapter investigates R&D investment in publicly listed family firms, and highlights the distinctions between these and non-family firms. The empirical study draws on data on German firms and their level of R&D expenditure between 2001 and 2012. The study finds that family firms spend more on R&D than non-family firms, confirming findings from the literature that long-term business orientation, superior performance and entrepreneurial success are characteristics of family firms. The research helps explain the differences between the R&D investment activities of family and non-family firms and contributes to the understanding of R&D activities of family firms, suggesting that family ownership is responsible for their strong entrepreneurial and innovation orientation.

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R&D Activities in Family Firms

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