The aim of this research is to study the moderating role of family management in the relationships between the intensity of research and development and the occurrence of continuous technological innovation and between the existence of technological innovation outcomes and long-term firm performance. The results show that family management reduces efficiency in the conversion of research and development expenses into technological innovation outcomes over time. Our findings also suggest that the influence of family management significantly contributes to improving the effect of the achievement of technological innovation on long-term performance.

Purpose: The purpose of this paper is twofold: to know whether those firms that achieve greater efficiency from their intangible resources (intellectual capital) also obtain greater performance; and to analyze the moderating role of family management on that relationship in small to medium-sized enterprises (SMEs).Design/methodology/approach: This paper conducts an empirical study with different econometric models using a panel data sample of 6,132 paired firm-year observations from Spanish manufacturing SMEs in the period 2000–2013.Findings: The findings suggest that intellectual capital efficiency is a key factor that allows the firm to achieve and maintain competitive advantages, obtaining greater performance. Additionally, this research also shows that the moderating role of family management can be a double-edged sword depending on the type of intangible resources.Practical implications: This paper may give managers an insight in how to better utilize and manage intangible resources available in their firms to improve competitive advantage and ultimately firm performance. Additionally, on the basis of the Socioemotional Wealth perspective (SEW), this article argues that family-managed firms that focus on SEW preservation can enhance the impact of structural capital efficiency on performance.Originality/value: This paper extends the prior literature by studying the joint effects of intellectual capital efficiency, distinguishing between human capital and structural capital efficiency, and family management on performance in the context of SMEs.

Previous literature showed mixed results about the impact of CEOs’ financial literacy (CFL) on small and medium-sized enterprises’ (SMEs) innovation. This relationship can be motivated by relevant variables, which are missing in the previous literature and make a difference as mediators. In this sense, based on the theoretical framework related to upper echelon theory and resource-based view, this study focuses on the mediating effect of risk-taking attitude and management control systems (MCS) variables. Empirical data from 310 SMEs gathered using a qualitative research questionnaire are analyzed using structural equation modeling methodology. Specifically, estimations are carried out considering the partial least square method. Findings show that MCS and managers’ risk attitudes fully mediate the relationship between financial literacy (FL) and innovation. Between these two mediating variables, the implementation of MCS stands out because it also enables the mediating effect of CEOs’ risk-taking in the CFL–technological innovation relationship. As the results do not support the significant direct relationship between FL and risk attitude, they confirm an indirect effect through MCS. Furthermore, based on the study findings, SMEs’ directors and owners, business associations, and public authorities can improve SMEs’ technological innovation by implementing training programs and policies to foster CFL. They can also acknowledge the interdependency between organizational factors and individual characteristics to enhance SMEs’ technological innovation.