The relationship between corporate governance characteristics and risk appetite: Evidences from Italian listed family companies

Martino Pierluigi, Rigolini Alessandra, D'Onza Giuseppe

Our paper aims to investigate the relationships between the characteristics of corporate governance systems and the level of company’s risk appetite. The analysis is carried out considering Italian listed family companies. Research focused on family firms has increased in the last years (Hiebl, 2012). Family businesses play an important role for the development of country’ economy, creating employment, contributing to wealth creation, competitiveness and economic progress (Westhead, Cowling, 1998; Zahra, 2005). This importance is shown in the recent entrepreneurship and family business, finance and management literatures. Within family business literature, there are numerous works which aim to investigate the relationship between family companies and risk appetite. Many scholars and frameworks address the importance of understanding the firms’ risk appetite (Lundqvist, 2014) given that it is a key element of the strategy setting process, influencing the establishment of strategic goals and objectives and the actions plan that company should implement to achieve the desired goals. In literature there are several definitions of risk appetite (Aven, 2013). For instance, the COSO’s Enterprise Risk Management Framework defines risk appetite as “the amount of risk an entity is willing to accept pursuit of value”1; while the ISO Guide 73 defines it as “the amount and type of risk that an organizations is prepared to pursue or retain” (ISO Guide 73 Risk management – Vocabulary). […]

Key-Words: Governance e controlli  interni

Tabella 1. Spiegazione delle variabili

Tabella 2. Media e deviazione standard del campione

Tabella 3. Correlazioni tra le variabili del campione

Tabella 4. Risultati del modello di regressione lineare