Explaining university students’ career path intentions from their current entrepreneurial exposure

2017 ◽  
Vol 24 (2) ◽  
pp. 313-332 ◽  
Author(s):  
Jerzy Cieślik ◽  
André van Stel
Keyword(s):  
University Students ◽  
Family Business ◽  
Current Mode ◽  
Law Students ◽  
Career Expectations ◽  
Content Type ◽  
Future Career ◽  
The Family ◽  
Comprehensive Survey ◽  
Business Succession

Purpose The purpose of this paper is to predict future career paths of university students, distinguishing between paid employment, running one’s own independent business and running a family business. The main predictor is the students’ current mode of entrepreneurial exposure, both in terms of the students running their own business, and in terms of their parents running their own business. Design/methodology/approach The study is based on a comprehensive survey held in May 2013 among 1,490 business and law students of Kozminski University in Warsaw, Poland. To predict future career expectations in ten years’ time, multinomial logit regressions were employed. Findings The authors find that, among students with a family business background, those students who are actively involved in their parents’ business are significantly more likely to pursue joining the family firm, rather than starting their own business. Practical implications In order to stimulate business succession, universities with a large proportion of students with family business background may consider launching dedicated programs promoting the interest of students in the businesses run by their parents. Originality/value The authors investigate to what extent active participation of university students in their parents’ business is associated with a higher probability to pursue a career in family business. The research has important implications in light of the increasing difficulty in Europe to find successors for family businesses.

Cultural values and their implications to family business succession

2019 ◽  
Vol 10 (4) ◽  
pp. 281-292 ◽  
Author(s):  
Grisna Anggadwita ◽  
Werda Bagus Profityo ◽  
Dini Turipanam Alamanda ◽  
Anggraeni Permatasari
Keyword(s):  
Cultural Values ◽  
Family Business ◽  
Family Businesses ◽  
Chinese Family ◽  
Content Type ◽  
The Family ◽  
Succession Process ◽  
Business Succession ◽  
Family Business Succession ◽  
Practical Implications

Purpose The family business is one of the business entities that contribute to the economy of a country. Succession in the family business occupies a strategic position, especially in maintaining the company’s sustainability. The Chinese family business has unique characteristics in maintaining and growing its business with the cultural values that underlie how their business. The purpose of this paper is to discuss the cultural values of Chinese ethnic and their implications in the succession process in small family businesses in Bandung, Indonesia. Design/methodology/approach This research uses a qualitative method with the in-depth interview method as a data collection technique. The sampling technique uses purposive sampling, while to test the validity of research data using a triangulation technique. A total of four small Chinese-owned family businesses participated as informants in this study. The study will identify the stage of succession process in the Chinese family business. Findings There are several stages identified in the succession planning of small Chinese-owned family business in Bandung which include succession antecedents, succession activities and desired outcomes. The results showed that small Chinese-owned family business in Bandung has not applied the rules and procedures in the succession process. Most of the Chinese family business in this research still holds Confucianism culture; they prioritize boys as business successors, who have a greater responsibility rather than successor with other gender. Practical implications Several implications are discussed. One of them is the Chinese family business holding cultural values in the process of family business succession. Originality/value This research is expected to provide theoretical and practical implications for academics and family companies with similar cases.

scholarly journals Knowledge management in family business succession: current trends and future directions

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Bingbing Ge ◽  
Giovanna Campopiano
Keyword(s):  
Knowledge Management ◽  
Family Business ◽  
Future Research ◽  
Research Directions ◽  
Content Type ◽  
Multi Stage ◽  
The Family ◽  
Future Research Directions ◽  
Multi Stakeholder ◽  
Business Succession

Purpose This paper aims to review the literature on knowledge management in the family business, addressing the research question as follows: “How is knowledge managed across generations in the family business?” This study synthesizes the literature, highlighting the role of multiple stakeholders who affect knowledge management along with the phases of the succession process. Stemming from these findings and embracing a practice-based view, this paper offers research directions to guide future contributions on knowledge construction in the family business. The purpose of this study is not only to conclude the previous research but also to provide insights for future research directions and to provide practical implications. Design/methodology/approach Through a systematic integrative literature review, this paper collects map and analytically examine 63 published peer-reviewed articles related to knowledge management in the family business from 39 academic journals. This paper applies a rigorous approach to identify the sample of articles, map descriptive information of the reviewed literature and map theoretical contributions according to a multi-stakeholder and multi-stage framework. Findings The sampled articles are analyzed according to a multi-stakeholder and multi-stage framework inspired by Daspit et al. (2016). This study identifies critical gaps emerging from the analysis, thus opening the way to future research directions. In particular, this paper prompts scholars to advance the understanding of family-related knowledge and to clarify the assumptions on knowledge in their research. Research limitations/implications This paper contributes to the debate on knowledge management in the family business, by systematizing the current literature. In addition, this study embraces a “knowledge from practice perspective” and offers research directions to guide future contributions on knowledge construction in family business succession and potential areas to further management research investigating the role of family-related knowledge. Practical implications are also provided to benefit family businesses, consultants and policymakers. Originality/value This study provides a systematic integrative literature review of the articles published on knowledge management in family business according to a multi-stakeholder and multi-stage framework. Moreover, it draws an agenda for future research advancing a “knowledge from a practice perspective” in the family business literature.

Family business succession: impact on supplier relations and customer management

2018 ◽  
Vol 26 (6) ◽  
pp. 1-4 ◽  
Author(s):  
Carol J. Gaumer ◽  
Kathie J. Shaffer
Keyword(s):  
Family Business ◽  
Brand Equity ◽  
Second Generation ◽  
Business Owners ◽  
Customer Relationships ◽  
Content Type ◽  
The Family ◽  
Employee Relationships ◽  
Business Succession ◽  
Family Business Succession

Purpose The purpose of this study is to examine what happens to human relationships when a family business is handed off to the next generation. The second generation, to succeed, must work to nurture and sustain current customer, supplier, and employee relationships so as not to damage existing goodwill. As power is transferred from the founder of the family business to the next generation, organizational issues and the leadership style of the successor take center stage. Design/methodology/approach This is strictly a conceptual paper designed for the practitioner. There is no empirical study therein, only theoretical frameworks to guide practitioners and family business owners. It is meant to be informational with many useful “tips” for family business succession. Findings Relationships with valuable human resources, such as current customers, suppliers, and employees must receive the attention they deserve to avoid negatively impacting organizational brand equity. Failure to nurture supplier relationships can increase costs and access. Neglected customer relationships may cause the loss of key members of these groups, contributing significantly to second-generation business failures. Damaged employee relationships cause expensive turnover, loss in customers, and negative word of mouth. Research suggests that only 30 per cent of businesses survive into the second generation and even less (about 13 per cent) into the third generation (U.S. Census Bureau, 2015). Research limitations/implications The next step would be to test the propositions using both qualitative and quantitative research, beginning with interviews of second-generation family business owners. The interviews would test the successor-generations’ attitudes and behaviors toward established customers, suppliers, and employees. Attitudes would be measured on a Likert scale to explore the perceived importance of current customers, employees, and suppliers to the new owner. Issues of commitment, responsibility, loyalty, friendship, respect, and caring would also be measured to evaluate how relationship-friendly the new owner is. Levels of retention of key stakeholders would then be correlated with the firm’s financial success or failure to see if there is any statistically significant relationship. Practical implications Establishing and maintaining strong trust relationships will socially bond customers, employees, and suppliers to the organization. Introduction of a second generation changes the dynamics of these relationships, so care is critical, as customers, suppliers, and employees become anxious with change. Relationship management is about nurturing customer relationships, honoring supplier arrangements, and developing employees. Consistent care toward trusted human resources creates brand equity (or monetary value). Naturally, family businesses start small and understand the value of each relationship, but as the business passes from the founder to the second generation, these loyal, trusted relationships may be tested. It is up to the successor to assure customers, suppliers, and employees that they are a valued part of the operation. Inability to do this will likely lead to an erosion of the business’ loyal base and may precipitate in failure of the firm for the successor. Social implications The social implications revolve around acceptable human interaction and proper treatment of individuals who are critical to the small family business’ success. As a family business passes from the founder to the second generation, loyal, trusted relationships may be tested. It is up to the successor to assure customers, suppliers, and employees that they are a valued part of the operation. Inability to do this will likely lead to an erosion of the business’ loyal base and may precipitate in failure of the firm for the successor. Originality/value It is original in that it is practitioner-oriented and full of useful tips for the family business owner. None of the information contained therein is novel. It is a consensus or compilation of useful information packaged for a practitioner.

Daughters taking over the family business

2016 ◽  
Vol 8 (1) ◽  
pp. 28-47 ◽  
Author(s):  
Silvia Gherardi ◽  
Manuela Perrotta
Keyword(s):  
Gender Inequality ◽  
Family Business ◽  
Family Firms ◽  
Small Enterprises ◽  
Content Type ◽  
Gender Regime ◽  
The Family ◽  
Orders Of Worth ◽  
Business Succession ◽  
Family Business Succession

Purpose – This paper aims to explore gender and legitimacy in family business succession. Design/methodology/approach – Within the theoretical framework of French pragmatic sociology, the authors conceptualise the family business as the locus where two regimes of engagement are present, generating the co-presence of two orders of worth, namely the domestic and the industrial. Taking a processual approach to entrepreneuring, and using case studies of small enterprises in Italy, this paper explores the case of daughters taking over the family firms. Findings – The paper shows how the daughters’ perceived gender inequality in the succession process is justified and how the justification work and the production of legitimacy are accomplished, shifting from one order of worth to the other. Originality/value – The value of the contribution consists in pointing to how gender inequality is reproduced and justified inside the family business. The dual regime of engagement is what justifies the reproduction of a specific gender regime within the family business. Moreover, the paper adds a “gender” perspective to French pragmatist sociology.

scholarly journals Modelling the knowledge transfer process between founder and successor in Vietnamese family businesses succession

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Robin Bell ◽  
Thanh Trung Pham
Keyword(s):  
Knowledge Transfer ◽  
Family Business ◽  
Transfer Process ◽  
Transfer Of Knowledge ◽  
Content Type ◽  
Business Context ◽  
The Family ◽  
Succession Process ◽  
Business Succession ◽  
Family Business Succession

PurposeThe transfer of knowledge has been identified as an important part of the family business succession process. This paper examines the knowledge transfer process from the founder to the successor to understand and model the factors that influence the knowledge transfer process in the Vietnamese family business context.Design/methodology/approachThis research adopts an inductive qualitative approach, conducting face-to-face semi-structured interviews with five father-son succession pairs. The interviews with founders and successors, ten in total, formed the basis of five case studies. The cases were all at an advanced stage of the process of business knowledge transfer and family business succession.FindingsA contextualized model was developed, highlighting the main factors that influence the knowledge transfer process from the founder to the successor in a Vietnamese family business context. This model identifies the influence of factors, some of which are not commonly presented in western family business literature. These include the importance of the role of the mother in mediating the relationship quality between the founder and the successor and the successor pursuing education and external work experience to improve their cognitive and reflective abilities. The need for the affinity between family members is also highlighted as important.Originality/valueIn Vietnam, most family-run businesses are still under the control of the founder. This research provides insight into the succession process in Vietnam. This research addresses calls for further exploration into the factors that influence the transfer of knowledge in the family business succession process and to research this process in a collectivist society, both of which remain under-researched.

The effects of goals attainment on CEO-owner satisfaction and the role of family involvement

2019 ◽  
Vol 10 (2) ◽  
pp. 116-127
Author(s):  
Ondřej Machek ◽  
Jiří Hnilica
Keyword(s):  
Family Involvement ◽  
Family Business ◽  
Firm Value ◽  
Family Firms ◽  
Hierarchical Regression ◽  
Content Type ◽  
Business Goals ◽  
Growth Increase ◽  
The Family ◽  
Owner Satisfaction

Purpose The purpose of this paper is to examine how the satisfaction with economic and non-economic goals achievement is related to the overall satisfaction with the business of the CEO-owner, and whether family involvement moderates this relationship. Design/methodology/approach Based on a survey among 323 CEO-owners of family and non-family businesses operating in the Czech Republic, the authors employ the OLS hierarchical regression analysis and test the moderating effects of family involvement on the relationship between the satisfaction with different goals attainment and the overall satisfaction with the business. Findings The main finding is that family and non-family CEO-owner’s satisfaction does not differ significantly when economic goals (profit maximisation, sales growth, increase in market share or firm value) and firm-oriented non-economic goals (satisfaction of employees, corporate reputation) are being achieved; both classes of goals increase the overall satisfaction with the firm and the family involvement does not strengthen this relationship. However, when it comes to external non-economic goals related to the society or environment, there is a significant and positive moderating effect of family involvement. Originality/value The study contributes to the family business literature. First, to date, most of the studies focused on family business goals have been qualitative, thus not allowing for generalisation of findings. Second, there is a lack of evidence on the ways in which family firms integrate their financial and non-financial goals. Third, the authors contribute to the literature on the determinants of personal satisfaction with the business for CEOs, which has been the focus on a relatively scarce number of studies.

“We are a family firm”

2018 ◽  
Vol 8 (1) ◽  
pp. 2-21 ◽  
Author(s):  
Claudia Binz Astrachan ◽  
Isabel C. Botero
Keyword(s):  
Family Business ◽  
Family Firms ◽  
Family Firm ◽  
Business Owners ◽  
Public Companies ◽  
Content Type ◽  
Brand Building ◽  
Depth Interview ◽  
The Family ◽  
Family Associations

Purpose Evidence suggests that some stakeholders perceive family firms as more trustworthy, responsible, and customer-oriented than public companies. To capitalize on these positive perceptions, owning families can use references about their family nature in their organizational branding and marketing efforts. However, not all family firms actively communicate their family business brand. With this in mind, the purpose of this paper is to investigate why family firms decide to promote their “family business brand” in their communication efforts toward different stakeholders. Design/methodology/approach Data for this study were collected using an in-depth interview approach from 11 Swiss and German family business owners. Interviews were transcribed and coded to identify different themes that help explain the different motives and constraints that drive their decisions to promote the “family business brand.” Findings The analyses indicate that promoting family associations in branding efforts is driven by both identity-related (i.e. pride, identification) and outcome-related (e.g. reputational advantages) motives. However, there are several constraints that may negatively affect the promotion of the family business brand in corporate communication efforts. Originality/value This paper is one of the first to explore why family businesses decide to communicate their “family business brand.” Building on the findings, the authors present a conceptual framework identifying the antecedents and possible consequences of promoting a family firm brand. This framework can help researchers and practitioners better understand how the family business nature of the brand can influence decisions about the company’s branding and marketing practices.

The innovation and internationalisation processes of family businesses

2017 ◽  
Vol 27 (2) ◽  
pp. 231-247 ◽  
Author(s):  
Vitor Braga ◽  
Aldina Correia ◽  
Alexandra Braga ◽  
Sofia Lemos
Keyword(s):  
Family Business ◽  
Family Firms ◽  
Family Businesses ◽  
Family Management ◽  
Multivariate Statistic ◽  
Content Type ◽  
Business Innovation ◽  
The Family ◽  
Internationalisation Strategies ◽  
Innovation Processes

Purpose The success of the family firms cannot be detached from the current paradigm where, within the present economic conditions, economic agents struggle to exploit the existing opportunities and need to take into account the risks associated to the international arena and the innovation processes. The internationalisation and innovation processes may trigger resistance within family business due to their relatively higher difficulty to take risks and to invest in industries outside the scope of their original core business. Innovation and internationalisation processes become relevant strategies for the family firms’ continuity and success. In line with such fact, the aim of this paper is to contribute with insights regarding the processes of innovation and internationalisation within family businesses. In particular, this paper aims to assess the propensity of such firms to apply such strategies, to identify the particular business behaviour and to assess the extent to which the particulars of family firms may constraint or lead to the implementation of innovation policies, and thus its internationalisation. Design/methodology/approach The data were collected through questionnaires within family business aiming to understand the scope and characteristics of internationalisation and innovation processes within these firms. The 154 replies from such data collection were analysed using different multivariate statistic procedures, although this paper is based on factorial and correlation analysis. Findings The analysis of the results shows that there is an association between the processes of innovation and internationalisation within family business. In addition, the results also suggest a typology of firms regarding their innovation and internationalisation strategies and motivations. Research limitations/implications The results of this paper are, to some extent, limited because they did not allow comparing the findings with data from non-family business. However, the authors’ aim was not to distinguish family firms, but rather to characterise them. Practical implications This paper expects to contribute with lessons for the management of family business and to raise awareness of the constraints faced by family business. It is important to highlight that family business performance may be affected by a lower propensity to risk-taking attitudes, by the lack of non-family management and to the necessity of separating the family and the business in the business dimensions that the family limits the business growth. Originality/value Although there is a significant amount of the literature devoted to explore family business, innovation and internationalisation studies, very few draw on the relationship between internationalisation and innovation processes within family business. This paper explores such a relationship within a particular business context – the family dynamics that strongly affect management and business development.

Social identity and family business: exploring family social capital

2015 ◽  
Vol 5 (2) ◽  
pp. 157-181 ◽  
Author(s):  
Torsten Schmidts ◽  
Deborah Shepherd
Keyword(s):  
Social Capital ◽  
Social Identity ◽  
Family Business ◽  
Social Identity Theory ◽  
Identity Theory ◽  
Family Members ◽  
Content Type ◽  
Family Social Capital ◽  
The Family ◽  
The Impact

Purpose – The purpose of this paper is to use social identity theory to explore factors that contribute to the development of family social capital. Effects are investigated both for the family and the business. Design/methodology/approach – A single in-depth case study focussing on the family unit was coducted within a fourth-generation family business involved in the arts retailing. Findings – The findings suggest that social identity theory is a useful lens to explore the development of family social capital. The six themes identified highlight that there is a normative and an affective dimension, leading to family members’ desire to uphold the status of the business. Evidence suggests that the normative factors may be both positively and negatively related to the development of family social capital, due to their potentially restrictive nature. Originality/value – The paper’s findings imply that social identity can contribute to understanding family dynamics. Evidence highlights various factors for family members that are not involved in the family business to uphold its status. This is attributed to the emotional significance of the business to the family’s identity. Furthermore, this paper suggests that the strong focus on norms and values, which developed gradually, may have adverse effects on the identification with the business and the willingness to uphold its status. Propositions are offered to provide guidance for future research to investigate this controversial evidence regarding the impact of value orientation on family social capital.

El Batraa manufacturers for chemicals and paint

2021 ◽  
Vol 11 (1) ◽  
pp. 1-20
Author(s):  
Ashraf Sheta ◽  
Sandra Wael ◽  
Mariam Soliman ◽  
Nour Abdallah ◽  
Rovan Bahnassy ◽  
...  
Keyword(s):  
Emerging Markets ◽  
Family Business ◽  
Master Of Business Administration ◽  
Business Decision ◽  
Content Type ◽  
Succession Plan ◽  
Academic Level ◽  
The Family ◽  
Future Strategy ◽  
Main Protagonist

Learning outcomes • Develop an understanding of how to institutionalize a family business. • Define the dynamics of the family business decision-making process in emerging markets. • Assess the cultural differences between founders and successors in an emerging markets context. • Identify the role of intergenerational differences in deciding the future strategy of a family business in emerging markets. Case overview/synopsis This case addresses El Batraa Manufacturers for Chemicals and Paints S.A.E., a privately owned family business operating in the coloring paste industry in Egypt. The main dilemma of the case is the existence of different visions about the business between the old and new generations. Also, it addresses the importance of understanding family dynamics to resolve existing challenges. The necessity of having governance in a family business is highlighted, together with a clear succession plan to secure family unity and business sustainability. Sandra the main protagonist within the case is trying to arrive to a resolution that can guarantee a motivating environment for her to join the family business. Her main dilemma is whether to choose to join the family business, with all the existing challenges or not. Accordingly, she proposes some steps to make the family business more appealing. Complexity academic level Under Graduate and Master of Business Administration level. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code CSS 3: Entrepreneurship.

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