Companies with skin in the game (owner-operator stocks) have outperformed the market by 3.7% (!) per year since 2006. Credit Suisse studied the characteristics of more than 1000 family companies. Great lessons from this study can be found in this article.
Yes, but usually, if the owner appoints his children as managers simply because they are his children, they do not have the competence and motivation, which reduces the company's results
Yes, but usually, if the owner appoints his children as managers simply because they are his children, they do not have the competence and motivation, which reduces the company's results
There are a lot of papers around this subject. Usually the second, third, ... generation performs pretty well too.