ENT 486 Dibrell Ole Miss Exam 1 Questions
with Correct Answers 2026-2027 Graded
Thematic focus - CORRECT ANSWER -"the management of family businesses by exploring
managerial challenges that are decisively influenced by the business family" is our textbook's
_________?
20-25% - CORRECT ANSWER -what percent range is the cutoff in ownership often used as the
criterion to distinguish family from non-family firms?
family management - CORRECT ANSWER -is often understood as the family's involvement in the
firm's top management, in many cases even in the CEO position
transgenerational focus - CORRECT ANSWER -what some literature suggests makes a family firm
unique:
the wish to pass the firm on to future family generations
separates family firms from non-family firms
important because it represents the critical feature distinguishing family firms from other types
of closely held companies
ownership - CORRECT ANSWER -(influence dimension)
Some argue, a majority stake is required for a family to exert a decisive influence on a firm
cutoff criteria distinguishing F/NF firms: Small firms: at least 50% of the voting rights in the
family hands
Large and public firms: at least 20% of voting rights in family hands
rationale: Ownership rights, and in particular voting rights, equip actors with a decisive power
to alter the strategic direction of the firm
, Management - CORRECT ANSWER -(influence dimension)
Others argue, a firm only qualifies as a family business if it is family managed as well as family
owned.
cutoff criteria distinguishing F/NF firms: Small firms: family involvement in top management
team
Large and public firms: involvement often not required
rationale: Management involvement is what allows a dominant coalition (the family) to imbue a
firm with particular values and to directly influence decision making
Transgenerational Outlook - CORRECT ANSWER -(influence dimension)
Some argue that, a business can only qualify as a family firm if it has remained under family
control beyond the founding generation
cutoff criteria distinguishing F/NF firms: Firm is controlled by a family with the intent of passing
it on to the next family generation
rationale: It is the desire for transgenerational control that distinguishes a family from a
nonfamily firm
Later-generation control - CORRECT ANSWER -(influence dimension)
cutoff criteria distinguishing F/NF firms: First-generation firms: founder-controlled firms
Later-generation firms: family firms
rationale: Control that spans generations - and hence is not limited to a founding generation, is
what constitutes a family firm
with Correct Answers 2026-2027 Graded
Thematic focus - CORRECT ANSWER -"the management of family businesses by exploring
managerial challenges that are decisively influenced by the business family" is our textbook's
_________?
20-25% - CORRECT ANSWER -what percent range is the cutoff in ownership often used as the
criterion to distinguish family from non-family firms?
family management - CORRECT ANSWER -is often understood as the family's involvement in the
firm's top management, in many cases even in the CEO position
transgenerational focus - CORRECT ANSWER -what some literature suggests makes a family firm
unique:
the wish to pass the firm on to future family generations
separates family firms from non-family firms
important because it represents the critical feature distinguishing family firms from other types
of closely held companies
ownership - CORRECT ANSWER -(influence dimension)
Some argue, a majority stake is required for a family to exert a decisive influence on a firm
cutoff criteria distinguishing F/NF firms: Small firms: at least 50% of the voting rights in the
family hands
Large and public firms: at least 20% of voting rights in family hands
rationale: Ownership rights, and in particular voting rights, equip actors with a decisive power
to alter the strategic direction of the firm
, Management - CORRECT ANSWER -(influence dimension)
Others argue, a firm only qualifies as a family business if it is family managed as well as family
owned.
cutoff criteria distinguishing F/NF firms: Small firms: family involvement in top management
team
Large and public firms: involvement often not required
rationale: Management involvement is what allows a dominant coalition (the family) to imbue a
firm with particular values and to directly influence decision making
Transgenerational Outlook - CORRECT ANSWER -(influence dimension)
Some argue that, a business can only qualify as a family firm if it has remained under family
control beyond the founding generation
cutoff criteria distinguishing F/NF firms: Firm is controlled by a family with the intent of passing
it on to the next family generation
rationale: It is the desire for transgenerational control that distinguishes a family from a
nonfamily firm
Later-generation control - CORRECT ANSWER -(influence dimension)
cutoff criteria distinguishing F/NF firms: First-generation firms: founder-controlled firms
Later-generation firms: family firms
rationale: Control that spans generations - and hence is not limited to a founding generation, is
what constitutes a family firm
