Strategic Investment Decisions under Different Ownership Logics

Sammanfattning

Purpose: Explore how different ownership logics influence the strategic investment decision-making (SIDM) process in investment companies by comparing institutional investors, private equity firms, and family-owned investment companies. Methodology: Qualitative and comparative research design based on interviews with respondents from eight investment companies. The empirical findings were analysed through thematic analysis, structured around the stages of the SIDM process. Theoretical perspectives: The theoretical data is based on literature on strategic investment decisions, strategic investment decision-making processes, ownership logics, and Hirschman’s concepts of exit, voice, and loyalty. Empirical foundation: For its empirical data gathering, this study conducted interviews with two institutional investors, two private equity firms, and four family-owned investment companies. Conclusions: The different ownership logics between institutional owners, private equity firms, and family-owned investment companies shape their SIDM process. Their processes broadly involve the same stages, but these are partly shaped by different assumptions regarding exit, voice, and loyalty. Therefore, ownership logic is an additional contextual factor which has a distinct influence on the SIDM process.