Entrepreneurial by Design: How Organizational Design Affects Family and Non‐family Firms’ Opportunity Exploitation

Alfredo De Massis, Kimberly A. Eddleston and Paola Rovelli

Journal of Management Studies, 2021, vol. 58, issue 1, 27-62

Abstract: Opportunity exploitation is a key aspect of the corporate entrepreneurship process and is particularly important to maintain a family firm through multiple generations. Drawing on an organizational design perspective, we investigate opportunity exploitation in family versus non‐family firms. The empirical analyses on survey data from a sample of 224 Italian firms reveal that family firms exploit significantly fewer opportunities than non‐family firms, and this result is fully mediated by the organization of their TMT. Our findings show that how family firms organize is crucial for opportunity exploitation, thus extending and enriching prior corporate entrepreneurship research, highlighting the importance of bringing an organizational design perspective to corporate entrepreneurship and family business studies.

Date: 2021
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