Table 1.

Definitions of Family Businesses With a Structural or Process Lens Applied.

Family Business DefinitionAuthorStructural or Process Lens Applied
Members of one family own enough voting equity to control strategy, policy and tactical implementationMiller and Rice (1967) Process definition
Ownership control by a single family or individualBarnes and Hershon (1976) Structural definition
Two or more family members influence the direction of the business through the exercise of management roles, kinship ties or ownership rightsDavis and Tagiuri (1982) Process definition
Family influence over business decisionsDyer (1986) Process definition
Ownership and operation by members of one or two familiesStern (1986) Structural definition
Legal control over the business by family membersLansberg et al. (1988) Structural definition
Closely identified with at least two generations of a family, the link has had a mutual influence on the company policy and the interests and objectives of the familyDonnelley (1964) Process definition
Expectation or actuality of succession by a family memberChurchill and Hatten (1987) Process definition
Single family effectively controls the firm through the ownership of greater than 50% of the voting shares and a significant portion of the firm's senior management team is drawn from the same familyLeach et al. (1990) A mix of structural and process definitions
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