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This paper investigates effects of strategic choice on organizational performance for Romanian family-owned Small and Medium sized Enterprises (SMEs). Using adapted Jacquemin–Berry entropy index for both product and international diversification and using a regression model, our study discusses family involvement as a moderating factor for organizational performance assessment. We discovered that there are multiple interactions between strategic choice and organizational performance while family involvement fails to have a significant role in moderating these interactions.

Assessing the Role of Strategic Choice on Organizational Performance by Jacquemin–Berry Entropy Index