Influence of the type of CEO and of the competitive environment on the relationship between entrepreneurial orientation and the performance of family businesses

The present research aims to improve scholars’ understanding of the relationship between entrepreneurial orientation and financial performance in the context of private family firms. Drawing on the socioemotional wealth perspective, this study proposes a configurational approach that considers the joint and simultaneous performance implications of entrepreneurial orientation, family CEO vs. nonfamily CEO and environmental characteristics. The results from our empirical analysis indicate that nonfamily CEOs are more likely to reap the fruits of their entrepreneurial efforts in hostile environments while the opposite is found when family firms are managed by a family CEO.