DOI: 10.1177/09746862231206870 ISSN: 0974-6862
Does Concentrated Shareholding Impact Family Firm Internationalisation?
V. Vijayagopal, M. Thenmozhi- Strategy and Management
- Business, Management and Accounting (miscellaneous)
- Business and International Management
This article investigates whether increase in concentrated shareholding impacts the internationalisation of family firms. Based on a multi-theoretic approach and using zero inflated beta model on a panel data set covering 307 largest Indian listed companies, we observe that concentrated ownership, adverse employee relations and business group affiliation discourage internationalisation. But as family shareholding exceeds 50%, concentrated ownership has an indirect positive balancing impact on internationalisation. Besides, status as a family firm has a significant favourable impact on internationalisation and it moderates the impact of concentrated ownership, adverse employee relations and group affiliation on internationalisation.