FAMILY VARIABLES AND FIRM PERFORMANCE: EVIDENCE FROM KUWAITI LISTED FIRMS

Abstract

This study examines the impact of family variables on firm performance in Kuwait by investigating the relationship between family ownership, family directors, family CEO, and ruling family on the boards of directors and firm performance. Using data from 93 non-financial firms listed on the Kuwait Stock Exchange from 2016 to 2018, the results indicate that the presence of ruling family members on boards provided greater value for Kuwait’s listed firms, while other variables produced mixed results. The study provides insights into the role of families in corporate governance in Kuwait and highlights the potential for agency conflicts among shareholders. The findings have implications for Kuwaiti families, regulators, and policymakers.