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Ethics in the Family Firm: Cohesion through Reciprocity and Exchange

Published online by Cambridge University Press:  23 January 2015

Rebecca G. Long  and
K. Michael Mathews
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Abstract:

The ubiquity of family dominated firms in economies worldwide suggests that inquiry into the nature of the ethical frames of these types of firms is increasingly important. In the context of a social exchange approach and the norm of reciprocity, this manuscript addresses social cohesion in a dominant family firm coalition. It is argued that the factors underlying this cohesion, direct versus indirect reciprocity, shape unique attributes of family firms such as intentions for transgenerational sustainability, the pursuit of non-economic goals, and strong interpersonal ties. Exchange structures, represented by direct and indirect reciprocity, lead family and non-family firms toward development of distinctive ethical frames of reference.

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Articles
Information
Business Ethics Quarterly , Volume 21 , Issue 2 , April 2011 , pp. 287 - 308
Copyright
Copyright © Society for Business Ethics 2011

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