Mikel Alayo, Txomin Iturralde and Amaia Maseda
The aim of this paper is to provide new evidence on the ability of family small- and medium-sized enterprises (SMEs) to develop ambidextrous innovations and their influence on the…
Abstract
Purpose
The aim of this paper is to provide new evidence on the ability of family small- and medium-sized enterprises (SMEs) to develop ambidextrous innovations and their influence on the internationalization processes, showing how this relationship varies due to family involvement.
Design/methodology/approach
The analysis is based on a sample of 186 Spanish family SMEs. Data were analyzed using structural equation modeling.
Findings
The results indicate that family SMEs' innovation activities are a stimulus for their internationalization process, and show the importance of family involvement in this relationship. Specifically, the findings suggest that family-specific characteristics such as the generation in charge of the business and the level of family involvement in the top management team (TMT) shape the relationship between innovation and internationalization.
Practical implications
Family SMEs need to focus on exploratory and exploitative innovations to obtain a competitive advantage in foreign markets, and thus, increase their internationalization level. Furthermore, the study contributes to a better understanding of the consequences of family involvement, increasing our knowledge of family firms' idiosyncratic behaviors in strategic activities. The study suggests that in order to improve the effect of innovation on internationalization, family owners should consider involving new generations and non-family managers within the decision-making structures.
Originality/value
To date, research on innovation-internationalization link in family SMEs has been fragmented and has not obtained conclusive results. This study provides new evidence on the relationship between these two important strategies. Furthermore, it contributes to the understanding of the influence of the family in shaping strategic decisions.
Details
Keywords
The study examines the influence of family social capital on prospective university graduates' entrepreneurial intentions in Tanzania. The study also looks at the way…
Abstract
Purpose
The study examines the influence of family social capital on prospective university graduates' entrepreneurial intentions in Tanzania. The study also looks at the way entrepreneurial education amplifies the primary link between the study variables.
Design/methodology/approach
Cross-sectional data were gathered at a specific period from potential graduates in Tanzanian universities using structured questionnaires under the quantitative approach. The links between family social capital, entrepreneurship education and entrepreneurial intention were examined using the PROCESS macro.
Findings
Family social capital significantly influences the entrepreneurial intention of prospective Tanzanian university graduates. The entrepreneurial intentions of prospective graduates from Tanzanian universities are positively and significantly impacted by entrepreneurship education. The relationship between family social capital and the entrepreneurial intention of prospective graduates from Tanzanian universities is positively and significantly moderated by entrepreneurship education, and as a result, the positive impact of family social capital is amplified with increased entrepreneurship education.
Research limitations/implications
This study examines the impact of family social capital on the entrepreneurial intention of the prospective graduates from Tanzanian Universities. Other studies may look at the impact of family social capital on entrepreneurial intention when controlled with social capital acquired after university life. This is to check if the entrepreneurial intention has changed in any way.
Practical implications
Universities should stress the importance of offering entrepreneurship education as a way to complement and amplify the influence of family support on encouraging people to intend to pursue entrepreneurial opportunities. This is because the presence of entrepreneurship education increases the positive impact of family social capital on entrepreneurial intention. Furthermore, families should have the culture of having good relationship that brings strong family social capital which are necessary for the intention to pursue entrepreneurship opportunities.
Originality/value
The study advances the literature on analysing the entrepreneurial intention of prospective graduates in Tanzanian universities by giving empirical evidence from Tanzania. The report also identifies entrepreneurship education as a crucial programme to enhance the impact of family social capital and entrepreneurial intention on aspiring graduates in Tanzanian universities. Furthermore, the study shows the importance of family social capital on the prospective graduate’s intention to pursue entrepreneurship opportunities.