Abstract
This paper investigates the relationship between board faultlines and investment efficiency in family firms and how this relationship varies due to family involvement. Our findings indicate that board faultlines have a negative effect on investment efficiency in family businesses. However, we observed that increased family involvement, specifically having more family member directors, higher family ownership, and transgenerational participation, mitigates the negative influence of board faultlines on investment efficiency.
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Competing interests: The authors declare no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.
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