Role of in-group collectivism in the longevity of family firms

The cultural dimension of in-group collectivism is connected with the concept of social capital, which has been shown in prior research to be a key factor in resource access and longevity of firms. In this paper, we formulate a set of propositions on how the cultural dimension of in-group collectivism moderates the relationship between the characteristics of family businesses and longevity. We look at six characteristics of family businesses: boundary regulation, business reputation, bridging relationships, organizational professionalism, regulated family power, and competitive succession. We discuss some boundary conditions on the proposed set of relationships.