Differences between Internal and External Facets:Family Equity Allocation Preference Under the Co-ownership by Couples
How to allocate family equity is an important issue for family governance.This paper holds that whether the spouse of the actual controller has shares or not will directly affect the allocation of shares to blood or in-laws.Based on the data of Chinese family listed firms from 2008 to 2016,the results show that:First,under the co-ownership by couples'model,the ac-tual controller of the firm will be more inclined to allocate equity to its blood.Second,equity balance degree and neutral par-ents in the family system are important mechanisms.The stronger the equity balance degree,the less likely the family equity under the co-ownership by couples'model will be allocated to the blood of the actual controller;The neutral parents of the ac-tual controller will significantly weaken the possibility of blood controlling under the co-ownership by couples'model.Third,the higher education background and shareholdings of the spouse,the stronger the motivation to allocate family equity to blood;The equivalent shareholding structure of blood or in-laws significantly increases the possibility that the actual control-ler will hire outsiders from the family to participate in management,but reduces the performance of the family firm.This re-search has enriched the research results of family firms'equity allocation and has a certain significance for further under-standing the process mechanism of family firms'governance under the co-governance of husband and wife.This study has some practical significance for the effective governance of family firms in China.First,although China's private economy has achieved strong growth after more than 40 years of reform and opening up,its equity has begun to diversi-fy,and different property rights entities have infiltrated each other to form a new property rights allocation structure,but the informal system still plays a significant role in the allocation of enterprise property rights.The influence of traditional culture on the reform of private enterprise system is profound,and the establishment of the modern system is still a long way to go.Second,conflict among family members is a common phenomenon,but how to mitigate it need to solve.In addition to formal communication mechanisms,the neutral system within the family should not be underestimated.Thus,how Chinese family firms'owners can design effective localized mechanisms to mitigate intra-family conflicts based on the current situation of firm development is an important issue that needs to be considered urgently.Third,it is crucial to improve the balance mecha-nism of enterprise equity.This paper finds that equity checks and balances can play a certain supervisory role,which indi-cates that when the family firm develops to multi-level family members to participate in governance,the owner can consider playing the role of checks and balances and supervision of controlling shareholders in shareholding.Fourth,the establishment of a balanced shareholding structure is helpful to solve the problem of monopoly.With the continuous expansion of the family relatives'network,it will be helpful for the intervention of external third parties to build a balanced equity structure from the inside of family members,thus forming a more stable power balance structure.
Co-ownership by CouplesEquity AllocationBlood or In-lawsEquity BalanceNeutral Parents
万方数据
维普
