Family firm innovation strategy: contradictions and tradition

摘要

Three paradoxes within the innovation context of family firms exist: how the business family might be a hazard and source for the firm; why family members act as shareholders and investors at the same time; and how established practice and innovation can cross-fertilize each other. Family firm research provides at least partial answers and solutions for these contradictions. The suggested propositions provide additional insights into successfully managing innovation in family firms. Family firms that actively manage conflicts within the business family and nurture professional management skills are likely to effectively exploit the business family's resources. Firms that ensure a system of sustainable management are likely to support sustainable continuous rejuvenation. Family firms that base their decisionmaking not only on established practices are likely to effectively integrate the family firm's identity with innovation. More detailed quantitative analysis on the effects of such paradoxes on the innovation strategy and performance of family firms is recommended.