A Family Member or Professional Management?
－ The choice of a CEO and its impact on performance
This article discusses when does a firm need a professional CEO, someone from outside the family to run the business. The article explains that under what circumstances is it better to have a family member run the business and when its better for a professional non family member to run it. The study claims that family businesses with high requirements for managerial skills are better off with a professional non family member CEO, but is it necessary for the business to be successful?
http://www.efmaefm.org/0EFMSYMPOSIUM/2007/papers/hu.pdf
Note: The article failed to convert via scribd
i agree with the article that professional non family members will make it more profitable and increase the value of the business. Especially, in the second or third generation, when most of the tensions within a family start and the business gradually declines in most cases
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