Corporate Governance Should Combine the Best of Private Equity and Family Firms
DECEMBER 22, 2016
The public corporation is typically bedeviled by the gap between managers’ and shareholders’ interests. In private equity, managers and shareholders are closely connected. The weakness is the generation gap, losing continuity of purpose as ownership passes through successive private equity houses and new cadres of top management. These examples are hybrids not just of family ownership and professional management, but also of private and public ownership.