DEFINING FAMILY BUSINESS LISTING IN INDONESIA STOCK EXCHANGE (IDX)

Achmad Sobirin, Muh. Zakki Fahruddin, Andiana Rosid (2016) Defining Family Business Listing In Indonesia Stock Exchange (idx)

Lembaga Penelitian Um Metro


File Pdf Download


ABSTRACT

A study on family business has encountered rapid development in recent decades. The crucial issue which has been attention is how to define a family business. Then, some of these definitions supported by the studies of characteristics, performance and strategy bring up various results due to the difference in definitions by some experts and nations. In Indonesia, the database needs of family business become increasingly difficult if considering that each company is not required by regulation to declare itself as a family business. In this article, we attempt to present some approaches to identify public businesses in order to make comprehensive databases of family business in Indonesia. From the three models of approach (ownership, involvement and potential) we employed, the identification results showed that 214 (42,54%) of 503 go public businesses listed in Indonesia Stock Exchange belonged as family firms. Among the results, 148 companies were obtained through ownership approach, 56 companies were identified through involvement approach, and 10 companies were considered potential as family firms.

Keywords: Family Business, Database, Go Public, Indonesia

REFERENSI

[1] Wilson, John F., and Andrew Thomson. (2006). Management in historical perspective: Stages and Paradigms, Competition & Change, 10 (4), 357-374 [2] Colli, Andrea. (2003), The History of Family Business: 1850–2000, Cambridge: Cambridge University Press [3] Reichers, A. E., & Schneider, B. (1990). Climate and culture: An evolution of constructs. Organizational climate and culture, 1, 5-39. [4] Miller, E. J., & Rice, A. K. (1967). Systems of Organisation: The Control of Task and Sentiment Boundaries. Tavistock Publ [5] Beckhard, R., & Dyer, W. G. (1983). Managing continuity in the family-owned business. Organizational Dynamics, 12(1), 5-12. [6] Handler, W. C. (1989). Methodological issues and considerations in studying family businesses. Family business review, 2(3), 257-276. [7] Churchill, N.C. &Hatten, K.J. (1987). Non-met-based transfers of wealth and power: A research framework for family businesses. American Journal of Small Business, 11(3), 51–64. T [8] Donnelley, R. G. (1964). The family business. Harvard Business Review, 42(4), 93-105. [9] Ward, J. L. (2011). Keeping the family business healthy: How to plan for continuing growth, profitability, and family leadership. Palgrave Macmillan. [10] Chua, J. H., Chrisman, J. J., & Sharma, P. (1999). Defining the family business by behavior. Entrepreneurship: Theory and Practice, 23(4), 19-19. [11] Chrisman, J. J., Chua, J. H., & Litz, R. (2003). A unified systems perspective of family firm performance: An extension and integration. Journal of Business Venturing, 18(4), 467-472. [12] Shanker, M. C., &Astrachan, J. H. (1996). Myths and realities: Family businesses' contribution to the US economy—A framework for assessing family business statistics. Family Business Review, 9(2), 107-123. [13] Claessens, S., Djankov, S., & Lang, L. H. (2000). The separation of ownership and control in East Asian corporations. Journal of financial Economics, 58(1), 81-112. [14] Porta, R., Lopez‐de‐Silanes, F., & Shleifer, A. (1999). Corporate ownership around the world. The journal of finance, 54(2), 471-517. [15] Porta, R., Lopez‐de‐Silanes, F., Shleifer, A., & Vishny, R. (2002). Investor protection and corporate valuation. The journal of finance, 57(3), 1147-1170. [16] Young, M. N., Peng, M. W., Ahlstrom, D., Bruton, G. D., & Jiang, Y. (2008). Corporate governance in emerging economies: A review of the principal–principal perspective. Journal of management studies, 45(1), 196-220. [17] de Silanes, F. L., La Porta, R., Shleifer, A., &Vishny, R. (1998). Law and finance. Journal of political economy, 106. [18] La Porta, R., Lopez-de-Silanes, F., Shleifer, A., &Vishny, R. (2000). Investor protection and corporate governance. Journal of financial economics, 58(1), 3-27. [19] Kang, J. K., & Shivdasani, A. (1995). Firm performance, corporate governance, and top executive turnover in Japan. Journal of financial economics, 38(1), 29-58. [20] Andres, C. (2008). Large shareholders and firm performance—An empirical examination of founding-family ownership. Journal of Corporate Finance, 14(4), 431-445. [21] Franks, J., & Mayer, C. (2001). Ownership and control of German corporations. Review of Financial Studies, 14(4), 943-977. [22] Villalonga, B., & Amit, R. (2006). How do family ownership, control and management affect firm value?. Journal of financial Economics, 80(2), 385-417. [23] Dyck, A., & Zingales, L. (2004). Control premiums and the effectiveness of corporate governance systems. Journal of Applied Corporate Finance, 16(2‐3), 51-72. Guedhami, O., & Mishra, D. (2009). Excess control, corporate governance and implied cost of equity: International evidence. Financial Review, 44(4), 489-524.