Family-owned company, management teams, diversity, and ambidexterity in small and medium-sized enterprises

Abstract

The purpose of this paper is to analyze the impact of family character on SMEs’ ambidexterity. We propose that family character-associated capacities and top management demographic characteristics, particularly team diversity, can influence decision making. These characteristics facilitate perceiving environment changes, as well as responding to them with alternatives that allow SMEs to take advantage of such changes. In addition, these characteristics promote skills that can help reconfigure resources. In a sample of 132 SMEs, we demonstrate that family character and team diversity management – both in terms of experience and age – can improve ambidexterity. More specifically, in the more ambidextrous firms, owners and top management showed age and tenure diversity, but no generational diversity