Understanding the Interplay of Family Ownership, Board Composition, and Performance in Unlisted Family Businesses

This study investigates the relationship between family ownership, board composition, and the performance of family businesses, with a focus on unlisted family enterprises. While much attention has been given to studies on listed family firms versus non-family firms, unlisted family businesses play a significant role in economies worldwide. The research used the PRISMA statement 2020 to select relevant articles and employed VOS viewer software for data analysis. The results reveal four significant research areas: interlocking directorates, family ownership, board composition, and performance of unlisted firms. Interlocking directors positively influence the performance of unlisted family firms, and the presence of knowledgeable board directors positively impacts strategic planning decisions. Notably, differences arise between family firms led by the first generation and those by subsequent generations. Independents and affiliates on the board enhance performance when the first generation runs the firm. The findings provide new insights into the role of board directors in the corporate governance of unlisted family businesses.