Developing a Scale to Measure the Institutionalization Level of Maritime Family Businesses

Abstract

Institutionalization is an important strategy that can help family businesses survive in developing market conditions. Measuring the institutionalization level of companies can improve the understanding of current corporate governance statuses and reveal institutionalization problems. Here, we developed a scale to measure the institutionalization level of maritime family businesses. Data obtained by questionnaires from 193 office employees in 177 Turkish family-owned ship management companies were analyzed by exploratory factor analysis and confirmatory factor analysis via structural equation modeling in the SPSS 23.0 and AMOS 23.0 statistical programs as quantitative methods. Following rigorous scale development procedures, a scale was developed consisting of 14 items and three dimensions. The three dimensions are effective organizational structure, internal audit, and transfer of authority. Based on the results, the scale was determined to be reliable and valid. Finally, the implications of the study were discussed and suggestions were given for additional studies.

Keywords

• maritime family businesses
• institutionalization level
• corporate governance
• ship management
• company generation