scholarly journals THE DEMIDOVS ON THE WAY TO AN INDUSTRIAL DYNASTY: STRATEGIES FOR ENSURING THE CONTINUITY OF THE FAMILY BUSINESS

2021 ◽  
Vol 72 (3) ◽  
pp. 81-90
Author(s):  
Igor N. Yurkin ◽  
Keyword(s):  
Family Business ◽  
18Th Century ◽  
Family Law ◽  
External Factors ◽  
Industrial Economy ◽  
Ownership Transfer ◽  
Careful Preparation ◽  
The Family ◽  
Two Generations

On the example of representatives of the first two generations of the Demidov family, the paper shows how one of the most successful entrepreneurial dynasties of the first half of the 18th century ensured the succession of development of the family business. The strategies of its transmission by inheritance are traced in detail. The legacy of Nikita Demidov, the dynasty’s founder, was divided according to the “Law on single inheritance” (1714): the transfer of property was conflict free, but gave rise to hidden grievances that influenced the further relations of the heirs. The division of the inheritance of the middle son, Grigory Demidov, who was murdered in 1728 and did not determine his heir, also gave rise to a long-term enmity among family members. Akinfiy Demidov’s choice of a successor with careful preparation for the transfer of the undivided industrial economy to him also turned out to be unsuccessful, since most of the heirs were not satisfied. It was only the youngest son, Nikita Nikitich, who managed to carry out the operation of transferring property rights in such a way that this transfer could be considered “equalizing”, “amicable” and therefore “sinless”. The author claims that the circumstances and forms of ownership transfer by each member of the clan influenced the strategies chosen by the other members. With this in mind, the implementation by N. N. Demidov of the option, which ensured the conflict-free transfer of the family business, is regarded as a result of taking into account the mistakes and failures of his predecessors. The influence of external factors on these processes, in particular, changes in legislation regulating the field of family law, and transformations associated with a change in the estate status of actors, is also noted.

Family succession, professionalization and internationalization: a study of Brazilian family businesses

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Augusto Dalmoro Costa ◽  
Aurora Carneiro Zen ◽  
Everson dos Santos Spindler
Keyword(s):  
Family Business ◽  
Family Members ◽  
Secondary Data ◽  
Family Businesses ◽  
Three Dimensions ◽  
Content Type ◽  
The Family ◽  
Two Generations ◽  
Internationalization Strategies ◽  
The Relationship

PurposeThe purpose of this paper is to investigate the relationship between family succession, professionalization and internationalization in family businesses within the Brazilian context.Design/methodology/approachThe paper presents a multiple-case study method with three Brazilian family businesses that have at least two generations of the owning family involved in the business and an international presence of at least three years. In-depth interviews and secondary data were undertaken with family and non-family members of each case.FindingsThe authors' results show that a family business can boost its internationalization by introducing both succession planning and professionalization on international activities. As family members tend to be more risk-averse and focused on keeping the family business within the family, professionalization is a way of improving the firm's ability to expand internationally. This process tends to lead to lower performance by the firm for the first few months or the first year after the investment, but afterward, international performance tends to grow exponentially.Originality/valueOnly a few studies have been concerned on the relationship of these three dimensions. Thus, the research takes into account that professionalization and succession lead family businesses to improve their internationalization strategies.

scholarly journals Advancing Tacit Knowledge: Malaysian Family SMEs in Manufacturing

2014 ◽  
Vol 13 (2) ◽  
pp. 1-24 ◽  
Author(s):  
John Lee Kean Yew ◽  
Edmund Terence Gomez
Keyword(s):  
Tacit Knowledge ◽  
Family Business ◽  
The Family ◽  
Innovative Management ◽  
Family Smes ◽  
Generational Shift ◽  
History Approach ◽  
Organizational Features ◽  
New Generation

The family business literature in developing countries suggests that their organizational features inhibit innovations that create niche products. In industrializing Malaysia, where family small- and medium-scale enterprises (SMEs) are undergoing a generational shift, there is little research on their capacity to develop the tacit knowledge of the founding generation. This assessment of 29 thriving family SMEs in plastics and food manufacturing evaluates how a new generation has nurtured innovative management, manufacturing, and marketing techniques. By adopting a business history approach that appraises the development of tacit knowledge, this study validates the need for family SMEs to institute organizational reforms to codify knowledge and therefore ensure long-term sustainability.

Choice Of Entity For The Family Business

2011 ◽  
Vol 23 (2) ◽  
Author(s):  
Martin A. Goldberg
Keyword(s):  
Family Business ◽  
Case Law ◽  
Income Taxes ◽  
Special Topic ◽  
Font Size ◽  
Tax Legislation ◽  
The Family ◽  
Different Characteristics

<p class="MsoNormal" style="text-align: justify; margin: 0in 34.2pt 0pt 0.5in;"><span style="font-size: 10pt; mso-bidi-font-size: 12.0pt;"><span style="font-family: Times New Roman;">Choice of entity has long been one of the central issues in applied business planning.<span style="mso-spacerun: yes;">&nbsp; </span>The family business often has special characteristics and needs that may differ from other businesses.<span style="mso-spacerun: yes;">&nbsp; </span>These different characteristics and needs will affect the determination of which entity is best for a particular business enterprise. To give some examples, the owners of a family business may want to maintain long-term control in the hands of one or two family members while still providing fairness for minority owners, may need to deal with attribution rules and other statutory provisions that make income tax planning more complicated, and may have the desire to take estate taxes into account as well as income taxes.<span style="mso-spacerun: yes;">&nbsp; </span>Tax legislation enacted in the years 2003 through 2006, as well as evolving case law, have made choice of entity for the family business more complicated than before, warranting a new look at this special topic.</span></span></p>

Mate Selection and Family Business Success

1999 ◽  
Vol 12 (2) ◽  
pp. 107-115 ◽  
Author(s):  
Kenneth Kaye
Keyword(s):  
Family Business ◽  
Mate Selection ◽  
Business Success ◽  
Windows Of Opportunity ◽  
Fundamental Fact ◽  
The Family

An index of a family's success is the caliber of talent it manages to attract and retain through marriage. This fundamental fact in sociology, anthropology, and history has received little attention in the family business field. Parents in Western societies have two windows of opportunity to enhance long-term family success through marriage: first, before their children reach puberty, and later, after they choose spouses for themselves.

scholarly journals Family Cohesion as a Longevity Factor of Business with Intergenerational Transmission

2014 ◽  
Vol 15 (4) ◽  
pp. 791-819 ◽  
Author(s):  
FCO. Javier Fernández-Roca ◽  
Jesús D. López-Manjón ◽  
Fernando Gutiérrez-Hidalgo
Keyword(s):  
Intergenerational Transmission ◽  
Family Business ◽  
Family Cohesion ◽  
Business History ◽  
Intergenerational Transfer ◽  
Critical Response ◽  
Original Plan ◽  
The Family ◽  
Business Family

This article contributes to a line of research in Business History that aims to determine the factors of family business longevity in the long term with the study of individual cases. The literature has identified family cohesion as one of the essential factors for survival. Cohesion may be reinforced or broken at the time of the intergenerational transfer. This study finds that a critical response on the part of the business family to the difficulties associated with intergenerational transfer of control, including modifications to the original plan, is usually based on trust between generations. Within the business family cohesion facilitates intergenerational transfers and, consequently, allows the family to evolve and transform itself into a business dynasty.

scholarly journals Training family business in undergraduate

2020 ◽  
Vol 14 (80) ◽  
pp. 113-127
Author(s):  
Yu. B. Rubin ◽  
◽  
A. Y. Pogorelova ◽  
E. V. Alekseeva ◽  
M. V. Lednev ◽  
...  
Keyword(s):  
Family Business ◽  
Professional Competencies ◽  
Professional Activity ◽  
Educational Standards ◽  
The Family ◽  
Family Entrepreneurship

In modern conditions, the development of entrepreneurship is complicated by the lack of uniform educational standards for teaching the conduct of this area of professional activity. In this regard, the article poses the issues of using a competence-based approach to training potential successors of family companies, which is significant for ensuring the success and long-term sustainability of family entrepreneurship. The authors of the article point out the need for the formation of additional professional competencies of students who have the prospect of entering the family business. Displaying the practical use of the proposed approach in the teaching of the discipline “family business” in the undergraduate University "Synergy"

scholarly journals Current and future challenges of family businesses

2020 ◽  
Vol 20 (2) ◽  
pp. 119
Author(s):  
Jessica Hastenteufel ◽  
Mareike Staub
Keyword(s):  
Family Business ◽  
Demographic Change ◽  
Family Businesses ◽  
The Family ◽  
Future Challenges ◽  
Family Strategy

Family businesses are an important part of every economy. They are characterized by long traditions that combine aspects such as trust and reliability, as well as by features such as innovativeness, foresight, long-term focus and flexibility. Both family businesses and the entrepreneurial families themselves do have some weaknesses and face current challenges like digitization, internationalization and demographic change. These issues must be kept in mind in order to constantly develop appropriate solutions that will help them survive and thrive in the market. Moreover, the high relevance of the family in a family business is associated with opportunities – for example, when a family strategy with clear values, roles and goals is defined, and a so called family business governance is developed.

Three Proposals for Interdisciplinary Study

1998 ◽  
Vol 11 (3) ◽  
pp. 267-274 ◽  
Author(s):  
Henry C. Krasnow ◽  
Robin L. Wolkoff
Keyword(s):  
Family Business ◽  
Business Owners ◽  
Minority Shareholders ◽  
Legal Advice ◽  
The Family ◽  
Tax Savings ◽  
Long Term Impact ◽  
Interdisciplinary Study ◽  
First Time

This article suggests research to determine whether more valuable legal advice can be given in three areas. The emotional distress caused by prenuptial agreements to people under 30 years old who are marrying for the first time is not justified because these agreements often do not accomplish their intended goals. Regarding estate planning, business owners and their lawyers often focus primarily on tax savings without considering the long-term impact of the estate plan on the family business. Finally, the advantages to the family business of agreements for the buyout of disgruntled minority shareholders are discussed.

scholarly journals Divorce in the family business: unfolding the legal problems by learning from practice

2016 ◽  
Vol 6 (1) ◽  
Author(s):  
Kajsa Haag ◽  
Lars-Göran Sund
Keyword(s):  
Family Business ◽  
Design Methodology ◽  
Family Law ◽  
Business Context ◽  
Legal Perspective ◽  
The Family ◽  
Critical Issues ◽  
Marital Property ◽  
The Impact ◽  
Practical Implications

Purpose Our purpose is to explore the case of divorce in family business from a legal perspective and highlight the problems of applying family law in the family business context. Design/methodology/approach We rely on legal analysis and interviews with estate distribution executors to discuss problems with the legal rules and how they are practiced. Findings Our findings show that the law is ill fitted to the situation where there is a family business included in the division of marital property. In divorce, family law dictates the division of marital property and the family business is reduced to an asset to be divided like any other. Critical issues are identified and elaborated. Research limitations/implications Divorce and other disruptions to the family system should be considered in family business consultancy among other threats to the business. The legal perspective on divorce in the family business offered here primarily concerns ownership issues. The impact of divorce on management is equally in need of exploration, which is our suggestion for further studies. Practical implications Our paper illuminates in which ways the business is hampered from divorcing owners and discuss critical issues with applying family law in a family business context. Originality/value New light is shed on the practical problems of interpreting family law in a family business context advancing our understanding of family aspects in family business management.

scholarly journals Richard Laurence Millington Synge, 28 October 1914 - 18 August 1994

1996 ◽  
Vol 42 ◽  
pp. 455-479 ◽  
Keyword(s):  
18Th Century ◽  
16Th Century ◽  
Henry Viii ◽  
Botanic Gardens ◽  
Art Gallery ◽  
Late 19Th Century ◽  
Art Collection ◽  
The Family ◽  
Two Generations ◽  
The Church

There is no doubt that Dick Synge was a very exceptional person. According to his family, this first showed itself in the memory of an event, which occurred when he was only fifteen months old, when he was allowed to play with the gravel outside the church during the christening of his sister. The Synge family consisted of two branches, one of which, the Irish Synges, contained the famous playwright, J.M. Synge. They trace their ancestry back to a Thomas Millington also called Singe of Bridgenorth (born ca . 1500). The English Synges were also certainly present in Bridgenorth in the early 16th century. The Irish and the English Synges are known to have been in touch with one another in the 18th century. The English Synges remained as fairly prominent citizens of Bridgenorth until the late 19th century. Both branches of the family used the name Millington as a Christian name. For unknown reasons the spelling of his surname, Sing or Synge, varied. Family legend has it that the origin of the name Millington, which was used by both branches of the family as a Christian name, was that they had lived at Millington Hall in the parish of Rostherne (Cheshire). Because a member of the family sang so beautifully before King Henry VIII he was told to take the name of Singe. One of Dick Synge’s great uncles, born in 1863 and always known as ‘Uncle Millington’, became Warden of St Edwards School, Oxford. Among Synge’s recent ancestors was his grandmother who was a Thornely. All the Thornelys were mildly academic and quietly eccentric or unconventional in one way or another, so that Synge is thought to have inherited much from them, even including his height. Two generations further back was William Roscoe, M.R, who helped to abolish slavery and whose art collection still forms the nucleus of the Walker Art Gallery; he also founded the Liverpool Botanic Gardens. Synge came from a distinguished family which included his grandfather, A.M. Sing, who was President of the Liverpool Athenaeum and a Governor of the Liverpool Collegiate School.

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