scholarly journals Effect of Entrepreneurial Networks on Family Business Development: A Conceptual Consideration

2018 ◽  
Vol 1 (2) ◽  
pp. 13-25
Author(s):  
Kenneth Chukwujioke Agbim
Keyword(s):  
Family Business ◽  
Resource Constraints ◽  
Business Environment ◽  
Business Development ◽  
Family Businesses ◽  
Entrepreneurial Networks ◽  
Professional Network ◽  
Start Up ◽  
Business Succession ◽  
Industry Network

Family businesses are generally affected by resource constraints. These resource constraints are occasioned by the vagaries in the business environment. Consequently, budding and established family business entrepreneurs are now resorting to the acquisition and sharing of intangible resources as a strategy for achieving family business development. One type of resource that is increasingly being employed is entrepreneurial networks. In spite of the known supports entrepreneurial networks give to entrepreneurs at the different states of family business development, empirical evidences are still rear. Based on the foregoing, this study undertook a literature review and thereafter proposes that: the effect of family network on family business start-up is significant; the effect of intra-industry network on family business formalization is significant; the effect of professional network on family business professionalization is significant; the effect of extra-industry network on family business diversification is significant; the effect of social network on family business internationalization is significant; and the effect of intra-firm network on family business succession is significant. For family business development to be influenced by entrepreneurial networks, budding entrepreneurs, founder and/or descendant CEOs and employees of family businesses need to be actively involved in network relationships that encourage and facilitates resource acquisition and sharing. Moreover, an empirical study is recommended based on these propositions. This is to validate the propositions and to further add to the family business development and entrepreneurial networks literature.

Successful family business succession: Utilizing peer groups for critical leadership skills development

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jenell Lynn-Senter Wittmer ◽  
Clinton Oliver Longenecker ◽  
Angie Jones
Keyword(s):  
Leadership Development ◽  
Family Business ◽  
Succession Planning ◽  
Leadership Skills ◽  
Peer Groups ◽  
Family Businesses ◽  
Business Leaders ◽  
Content Type ◽  
Critical Leadership ◽  
Business Succession

Purpose The current study explores the necessary leadership skills required for leadership succession in family businesses as well as best development activities for each skill. The current study provides suggestions for best practices in developing and utilizing peer groups as a leadership development method. Design/methodology/approach A needs assessment was conducted by surveying 150 family-business leaders. Leaders were asked, “What are your most pressing leadership development needs for your organization as you move toward succession? A follow-up question was then asked: “For each of these skills, what method would best help develop this skill for family business leaders?” The responses were content analyzed, placed into themes, and rank ordered. Findings High agreement amongst business leaders was found as eight leadership skills were cited by high percentages of family-business leaders. Leaders overwhelmingly reported peer developmental activities as being the best method for developing these skills. Originality/value Succession planning in family-businesses is critical as many family business fail to make it past the first or second generation. However, little research explores what specific leadership skills are necessary for optimal succession. As well, many leaders in public organizations seek individual methods of development, such as executive coaching, whereas family business leaders seek group activities to learn with/through their peers.

Creating Competitive Advantage in Scottish Family Businesses

2010 ◽  
pp. 230-251
Author(s):  
Claire Seaman ◽  
Stuart Graham
Keyword(s):  
Knowledge Transfer ◽  
Competitive Advantage ◽  
Family Business ◽  
Future Development ◽  
Business Environment ◽  
Family Businesses ◽  
High Quality ◽  
Diverse Environment ◽  
The Creation

This chapter seeks to consider both the role that knowledge transfer may have in family businesses and the different manners in which knowledge transfer may take place within this diverse environment. The economic, social and community importance of family businesses within Scotland is considered, alongside the different manner in which family businesses commonly operate and the implications for knowledge transfer. The importance of knowledge transfer in the creation of competitive advantage within a family business environment and the relatively limited nature of research in this area are explored, highlighting the need for further research both to support the on-going development of a strategy for family businesses in Scotland and to facilitate future development of high quality knowledge transfer. Key to all of this, however, is an increased understanding of what is meant by knowledge transfer and the breadth of ways in which it happens.

Developing Capabilities for Sustainability in Family Small Enterprises

2022 ◽  
pp. 583-600
Author(s):  
Ben Akume ◽  
Osarumwense Iguisi
Keyword(s):  
Family Business ◽  
Business Environment ◽  
Family Businesses ◽  
Business Success ◽  
Small Enterprises ◽  
Stewardship Theory ◽  
Business Sustainability ◽  
Advanced Economies ◽  
Medium Businesses ◽  
Depth Interviews

Though literature in family perpetuity and sustainability is well documented from the advanced economies, there is scarcity of insights from emerging markets where this research relates. The study, therefore, sought to investigate, understand, and interpret the underlying drivers of sustainability in small family businesses using the stewardship theory paradigm in the Nigerian family business environment. A qualitative method with 41 in-depth interviews involving owners and managers of family-owned small and medium businesses was conducted. The study empirically shows that there is an interrelationship between family structure and business sustainability; hence, the practice of polygamy was found to be inimical to family business success and sustainability. Building on the stewardship theory, the paper develops a model of sustainability for small and medium family businesses. The study contributes to the theoretical literature on stewardship and family business sustainability.

scholarly journals Family Business Succession in Different National Contexts: A Fuzzy-Set QCA Approach

2019 ◽  
Vol 11 (22) ◽  
pp. 6309 ◽  
Author(s):  
José António Porfírio ◽  
Tiago Carrilho ◽  
Joseph Hassid ◽  
Ricardo Rodrigues
Keyword(s):  
Family Business ◽  
Fuzzy Set ◽  
Qualitative Comparative Analysis ◽  
Family Businesses ◽  
Expectation States ◽  
Succession Plan ◽  
Limited Applicability ◽  
Expectation States Theory ◽  
Business Succession ◽  
Family Business Succession

Family business succession is a key topic that has attracted considerable attention from researchers, especially in the last decade. Most research, however, is based on case studies with limited applicability and fails to present comparisons across international contexts that highlight differences in succession processes. We apply expectation states theory to analyze a sample of 128 observations in two Southern European countries, Portugal and Greece. We study configurations of successors’ characteristics, family business characteristics, the existence (or absence) of a succession plan, and successors’ motivation to succeed. Our aim is to reveal how these issues affect successors’ perceptions of preparation for succession using fuzzy-set qualitative comparative analysis (fsQCA). Family businesses are a dominant organizational form all over the world, and succession issues are critical for the sustainability of family businesses. Our findings suggest that different configurations of conditions influence successors’ perceptions of preparation for family business succession. Moreover, we verify the influence of cultural differences on these processes. This research helps fill a gap in the literature, showing the role of a set of characteristics in successors’ perceptions of preparation for family business succession. Our conclusions provide insight into the types of policies that can promote successful family business succession.

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.

Succession in the Family Business: Challenges for Successors from an Entrepreneurial Perspective

2014 ◽  
Vol 15 (4) ◽  
pp. 279-284 ◽  
Author(s):  
Daniela Weismeier-Sammer ◽  
Isabella R. Hatak
Keyword(s):  
Family Business ◽  
Family Businesses ◽  
Teaching Case ◽  
The Family ◽  
Succession Process ◽  
Business Succession ◽  
Business Challenges ◽  
Family Business Succession

Kronmann Wholesale and Retail is an outstanding family business with more than 300 years of history. This teaching case tells the story of two cousins who follow their fathers into a business full of tradition. The case gives students the opportunity to gain insights into the complex succession process of family businesses, as well as the challenges with which successors are confronted in the course of family business succession.

Game Theory and Family Business Succession

2012 ◽  
Vol 26 (1) ◽  
pp. 51-67 ◽  
Author(s):  
Tim Blumentritt ◽  
Timothy Mathews ◽  
Gaia Marchisio
Keyword(s):  
Game Theory ◽  
Family Business ◽  
Family Businesses ◽  
Business Succession ◽  
Succession Events ◽  
Family Business Succession ◽  
Primary Contribution

One of the most significant challenges to enduring family businesses is the process of passing the leadership of a firm from one generation to another. This article introduces game theory as a model for examining succession as a set of rational but interdependent choices made by individuals about a firm’s leadership. Its primary contribution is demonstrating the application of game theory to understanding the decisions and outcomes of succession events.

Family Business Succession: Founders from Disadvantaged Communities in South Africa

2011 ◽  
Vol 25 (4) ◽  
pp. 277-287
Author(s):  
Eslyn B.H. Isaacs ◽  
Christian Friedrich
Keyword(s):  
South Africa ◽  
South African ◽  
Family Business ◽  
Developed Countries ◽  
Family Businesses ◽  
Disadvantaged Communities ◽  
Succession Plan ◽  
Business Failures ◽  
Business Succession ◽  
Stability And Resilience

It is estimated that 50–70% of all South African businesses are family-owned and that these businesses form the backbone of the South African economy, their qualities providing stability and resilience in the changing society of the nation. Succession is one of the biggest challenges for family business owners. Research shows that only 33% of all family businesses progress from the first to the second generation and only 16% progress to the third generation. This is because in many small and medium-sized family businesses there is no formal succession plan and no appropriate governance structures are in place. Matters may also be complicated by destructive conflicts, with more than one family member believing that he or she is best equipped to take over as leader. In most developed countries family business research is receiving the same attention as, for example, entrepreneurship, but in South Africa neither topic has yet come of age. Of the 23 registered universities and technical universities in South Africa, only one offers a full semester-based module on family business, while four of the other institutions offer around two credit modules, of which succession is a small part. It is clear from the investigation reported here that unless the topic of succession receives more attention unclear succession plans, incompetence and/or lack of preparedness of successors and family rivalries will continue to result in unsuccessful successions and business failures.

Megatrends in Family Business

1998 ◽  
Vol 11 (3) ◽  
pp. 181-185 ◽  
Author(s):  
Craig E. Aronoff
Keyword(s):  
Strategic Planning ◽  
Family Business ◽  
Business Education ◽  
Service Providers ◽  
Family Businesses ◽  
Professional Service ◽  
Team Management ◽  
The Past ◽  
Business Succession

The past decade has brought changes in our understanding of family businesses. This article identifies 10 “megatrends,” which are evolving changes fundamental to understanding and working with family businesses. Identified trends include focusing on generational transitions rather than business succession; team management and ownership as a developing norm; the increasing importance of strategic planning in family business; increasing financial sophistication; increasing managerial professionalism; refining retirement; expanding roles for women; increasing sensitivity of professional service providers to family business; and increasing availability and quality of family business education and consulting.

scholarly journals Family Business Transgenerational Continuity in Transition Economies: Towards a Conceptual Model

2013 ◽  
Vol 4 (2) ◽  
pp. 150-167
Author(s):  
Olga Štangej ◽  
Vida Škudienė
Keyword(s):  
Soviet Union ◽  
Conceptual Model ◽  
Transition Economies ◽  
Family Business ◽  
Former Soviet Union ◽  
Outcome Measurement ◽  
Family Businesses ◽  
And Performance ◽  
Business Succession ◽  
Family Business Succession

Within classification of emerging economies, Lithuania as part of the former Soviet Union belongs to the group of transition economies. In this paper, we discuss how theorizing leadership succession may contribute to the key strategic questions of succession arising among family businesses in transition economies. The purpose of this study is to revisit the phenomenon of family business succession and linkages among the goals of succession and performance measures of family business. Our study aims at providing three contributions to the current literature. First, it highlights the role of transgenerational continuity of family businesses in transition economies. Second, it revisits the concept of succession through identification of the third – leadership – dimension alongside management and succession. Third, it provides a conceptual model of family business succession outcome measurement and implications for further research.

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