ABSTRACT
Introduction Despite the potential benets aorded to family rms based on close family relationships (Habbershon & Williams, 1999), strife within the dominant coalition of family members can limit the eectiveness of these organizations (Lansberg, 1983). An example of the deleterious eects of conict within family rms recently unfolded at Market Basket, a chain of U.S.-based grocery stores. A long-simmering power struggle between two family factions erupted when the company’s CEO, Arthur T. Demoulas, was forced out by his cousin over making questionable investments and reducing dividends to shareholders (British Broadcasting Corporation, 2014). The conict eventually spilled out of the boardroom and into the workforce when employees went on strike in support of their ousted boss (Pathe, 2014). Although a settlement was eventually reached (British Broadcasting Corporation, 2014), the strike cost the company more than $10 million each day and jeopardized its standing with its loyal customer base (Pathe, 2014).
