Control mechanisms and strategic flexibility of family firms

Main Article Content

Cristiane Wornath Weissmantel
https://orcid.org/0000-0001-5955-1155
Franciele Beck
Daniel Magalhães Mucci
https://orcid.org/0000-0002-0658-1470

Abstract

The study aims to evaluate the influence of the culture of family’s commitment on strategic flexibility and the mediating effects of control mechanisms from the perspectives of agency and stewardship theories in Brazilian family firms. For data analysis, it was performed Structural Equation Modeling (MEE-SmartPLS). The study’s results show that the relationship between the family commitment culture and strategic flexibility is not direct, but mediated by stewardship control mechanisms. However, agency mechanisms do not mediate the relationship between family’s commitment culture and strategic flexibility. The study advances the discussions about the coexistence of control mechanisms in family firms, contributes by evaluating mechanisms that precede strategic flexibility, in addition to investigating strategic flexibility in a pandemic context. Furthermore, it provides insights for companies to reflect on the most appropriate use of mechanisms that encourage strategic flexibility.

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How to Cite
WEISSMANTEL, C. W.; BECK, F.; MUCCI, D. M. Control mechanisms and strategic flexibility of family firms. RAE - Revista de Administracao de Empresas , [S. l.], v. 63, n. 4, p. e2022–0082, 2023. DOI: 10.1590/S0034-759020230405. Disponível em: https://periodicos.fgv.br/rae/article/view/89714. Acesso em: 17 jun. 2024.
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