Strategic Transition Of Family Business: Effects Of Family (Dissertation Sample)

Strategic transition of family business: effects of family upbringing and values succeeding generations’ problems and successes
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22nd Dec.2012
Abstract
Family business plays an important role in the global economy. As noted in Thailand, its stability is more based on the dynamics of succession or generational transitions. Through established family traditions these family owned business have remained successful due to positive upbringing as well as proper integration of modern education with the established values. In this way family as well as the established investments have remained fundamental.
Table of Content ……………………………………………………………Chapter numbers
i.Abstract…………………………………………………………………………………………2
CHAPTER: I…………………………………………………………………………………….6
Introduction
1.1. The significance of the family business
1.2. Need for Study
1.3. Objectives of the Study
1.4. Research Questions
1.5. Benefits of the Study
CHAPTER II….………………………………………………………………………………..17
Literature Review
2.1. Introduction
2.2. Over view of the Family Business
2.3. Family Values
2.4. Business Values
2.5. Ethical Climate
2.6. Family business principal Values, Culture and Ethical Environment
2.7. Succession Management
2.8. Education
2.9. Family aspect
2.10. Business Success and Profitability
2.11. Characteristics of family owned business
CHAPTER: III………………………………………………………………………………..49
METHODOLOGY
3.1. Introduction
3.2. Case Research: Diversities and Choices
3.3. Outline for Coevolution Studies
3.4. Case Study Approach & Design
3.5. Data collecting & Sources
3.6. Thematic analysis
3.7. Questionnaire Design
3.7.1. Close ended questionnaires
3.7.2. Questionnaires
3.8. Survey and Interview Procedures
3.9. Response Rate
3.10. Reliability and Validity
CHAPTER: IV.............................................................................................................................83
FINDINGS AND ANALYSIS
4. I. Introduction
4.2. Key Findings from the Questionnaire Survey
4.3. The location of Family businesses in the Economy
4.4. Specifics of Family Businesses
4.5. Section I. Information as regards respondents and their organizations
4.5.1. Section II. Opinions about family business development and succession
4.5.2. Section III. Factors contributing to family business, succession and managerial insecurity.
4.5.3. Section IV: Opinions about Impacts of ethical Climate Change
4.5.4. Section V: Opinions about the Extent the SMEs in Thailand
4.6. Key Findings of Secondary Research
CHAPTER V………………………………………………………………………………….100
Conclusion and Recommendations
CHAPTER VI…………………………………………………………………………………102
References
Chapter 1
Introduction
Strategic transition of family business: effects of family upbringing and values succeeding generations’ problems and successes
1.1. The significance of the family business
The family business is in reality a major player in global economy. For instance, if there total contributions towards domestic and international employment along with national product of each nation are considered, they ought to be regarded as some of the significant commercial organizations. As noted by a number of scholars, there shares are projected to be within a range of 50 to 94 % of the existing businesses relying on the country. Also similar outcomes are as result of a study executed by Grant 1. Based on survey questioning which involved between 5000 and 8500 business owners globally, it was established that 77 % of the participants in Asia, 68 % in Europe as well as 89 % in the US considered there organizations to be a family business,2,3,4,5. A comprehensive overview of the significance of family business in diverse nations is provided in literature review. When the aspect of family business is approached from regional perspective, it would be paramount to point that in Asian countries such as Japan, Philippines, and Vietnam, and China, family owned business tends to dominate the national economic landscape. Numerous studies, for instance, indicates that 65 to 77 % of all Japanese commercial entities can be classified as family owned business, which collectively contributes considerably to the nations GNP. Family business should be perceived as companies which are enlarging to be multinationals that critically share basic premise of decision making as well as operations of the organization fundamentally influenced by the owning family. On the other hand, family businesses are even more equally represented in both small and medium sized enterprises as well as multinational corporations. In regard to most Asian countries, majority of them have an economy that heavily depends on successful businesses and this is also replicated in other countries such as Belgian which also depends on the success of its family firms which have more than 250 employees. Due to the above observations we will thus focus on Strategic transition of family business: effects of family upbringing and values succeeding generations’ problems and successes in family businesses. Overall, the given figures explicitly show the prevalence of the family owned business, and this should provide definite indication on why the scope of examining family owned business is pertinent and equally necessary. Previous studies indicate that parents who own businesses tend to live with their families with the proximity of the business. Hence approximate 10 % of Asian household runs their family owned business within the same premises as with the family.
1. Silverman, D. Doing qualitative research: a practical handbook. (London: Sage,2005),133.
2 .Hamouda, O. Keynes’s Macroeconomics.(London: Palgrave Macmillan,2009),88
3 .Hatch, M. J. and Cunliffe, A. L. Organization Theory, 2nd ed. (Oxford: Oxford University Press,2006),238.
4 .Mathieson, D. Managing Financial Risks . (Cambridge: Cambridge University Press,2003),90.
5. Sinha, H. Challenges in Rural Development. (New Jersey: McGraw Hill Press,2003),234.
Sharma 6 explicated that the predominant rationalization given by researchers for carrying out studies on effects of upbringing on family-owned businesses has been the consciousness of the enormity and supremacy of these effects on businesses in the global fiscal background. In essence, family-owned businesses, on the whole, the small-to-medium sized businesses, are said to be the grassroots of the worldwide wealth, and are undoubtedly the preponderance of all the commercial activities worldwide 7, and are equally as aged as civilization itself 8. The approximates of the percentage linked to family businesses comparative to total commerce in the United States is estimated to range somewhere from 42.5% to 95.87% 9,10,11,12,13,14. That is why different scholars have considerably tried to define and investigate the scope of effects of upbringing, education and family values on family-owned businesses, and many have often opted to focus largely on differentiating family-owned businesses from other type of businesses (for instance, 15, 16). Nevertheless, none of these characterizations materializes to have yet acquired pervasive acknowledgment or approval. The majority of definitions seem to focus on the fundamental role of individual upbringing and the effect it has in terms of establishing the management as well as control procedures typically employed in the family owned business as noted by 17,18,together with 19,20,21. It is imperative to realize that ―family owned enterprises as well as small business are not inevitably similar.
There are countless successful large and medium sized businesses that are perceived to be family businesses; nevertheless, the bulk of family owned businesses are counted as small businesses if with less than 20 employees particularly in Indonesia, Japan, South Korea, India, and Pakistan 22.
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6. Miles, M. B., & Huberman, A. M. Qualitative data analysis. (London: Routledge, 2004), 100.
7 .Slater, R. Climate Change: Implications for DFID’s” (Tue Independent, UK, 2007), 15.
8. Westhead, P. and Cowling, M.: Famil...