This situation, however, is very common in Italy: among (manufacturing) familyowned firms, two thirds have a management team comprised exclusively of family members, compared with one third in Spain, one fourth in France and Germany and one tenth in the UK.
Recent research shows that managerial practices, more specifically the definition of targets, incentives and supervision, tend to be worse in family-owned firms that are also run by family members (see, inter alia, Bloom and Van Reenen, 2010, and Caselli and Gennaioli, 2013). This is also associated with worse performance.