Private equity and entrepreneurial investments: understanding the determinants of founder-CEO succession in the Caribbean
Private equity and entrepreneurial investments: understanding the determinants of founder-CEO succession in the Caribbean
Our study develops a contextually embedded institution-theoretic model of the major influences precipitating entrepreneurial founders’ leadership succession. Drawing on a unique sample of 184 listed firms from 10 national securities markets across the Caribbean region, we find that both business group (BG) and private equity (PE) ownership are associated with an increased likelihood of founder retention. The results also show that firms’ adoption of shareholder value corporate governance negatively moderates the BG main effect, while positively moderating its PE counterpart. We argue that this is reflective of a simpler lifecycle in emerging economies centred on one major transition, namely the transition from internal to external resource provision.
Business Groups, Founder succession, Latin America, Private equity, caribbean, emerging economies, institutions, private equity, business groups, Emerging Economies, Caribbean
Hearn, Bruce
45dccea3-9631-4e5e-914c-385896674dc2
Tauringana, Venancio
27634458-b041-4bc1-94da-3e031d777e4f
Ntim, Collins
1f344edc-8005-4e96-8972-d56c4dade46b
Hearn, Bruce
45dccea3-9631-4e5e-914c-385896674dc2
Tauringana, Venancio
27634458-b041-4bc1-94da-3e031d777e4f
Ntim, Collins
1f344edc-8005-4e96-8972-d56c4dade46b
Hearn, Bruce, Tauringana, Venancio and Ntim, Collins
(2023)
Private equity and entrepreneurial investments: understanding the determinants of founder-CEO succession in the Caribbean.
Entrepreneurship & Regional Development.
(doi:10.1080/08985626.2023.2289571).
Abstract
Our study develops a contextually embedded institution-theoretic model of the major influences precipitating entrepreneurial founders’ leadership succession. Drawing on a unique sample of 184 listed firms from 10 national securities markets across the Caribbean region, we find that both business group (BG) and private equity (PE) ownership are associated with an increased likelihood of founder retention. The results also show that firms’ adoption of shareholder value corporate governance negatively moderates the BG main effect, while positively moderating its PE counterpart. We argue that this is reflective of a simpler lifecycle in emerging economies centred on one major transition, namely the transition from internal to external resource provision.
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Private equity and entrepreneurial investments understanding the determinants of founder-CEO succession in the Caribbean (1)
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Accepted/In Press date: 25 November 2023
e-pub ahead of print date: 4 December 2023
Keywords:
Business Groups, Founder succession, Latin America, Private equity, caribbean, emerging economies, institutions, private equity, business groups, Emerging Economies, Caribbean
Identifiers
Local EPrints ID: 485522
URI: http://eprints.soton.ac.uk/id/eprint/485522
ISSN: 0898-5626
PURE UUID: 2c8a5d30-9b6d-449e-b196-b134a3a04da6
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Date deposited: 08 Dec 2023 17:30
Last modified: 18 Mar 2024 03:48
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