The international entry mode of family-owned enterprises: a socio-emotional wealth perspective Online publication date: Wed, 02-May-2018
by Vincenzo Pisano
International Journal of Comparative Management (IJCM), Vol. 1, No. 1, 2018
Abstract: This paper aims to provide a preliminary step in the attempt to consolidate international business and family business research outcomes. The idea is that the two literature streams keep developing separately calling for the development of a consolidation process. Through the adoption of the socio-emotional wealth (SEW) perspective, the paper proposes a conceptual re-interpretation of the results achieved by the main international business theories underlining the key and most influential factors potentially affecting the international entry mode process of family-owned enterprises. It is suggested that family firms tend to perceive a higher risk than non-family firms because of their intrinsic characteristics and connected principles behind decision processes. Specifically, family-owned firms pursue the protection of the SEW and hence, their choices should always be in line with such principle. As a consequence, their ideal entry mode should always guarantee the full protection of the SEW, a specificity that only Greenfield investments can pledge.
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