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Incumbent Decisions about Succession Transitions in Family Firms: A Conceptual Model

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  • Britta Boyd

    (Department for Border Region Studies, University of Southern Denmark, Alsion 2, 6400 Sønderborg, Denmark)

  • Isabel C. Botero

    (Department of Management, Gatton College of Business and Economics, University of Kentucky, Lexington, KY 40506-0034, USA)

  • Tomasz A. Fediuk

    (Fediuk Botero LLC, Lexington, KY 40515, USA)

Abstract

In the family business literature, succession research has focused on the family member as they enter the leadership role or on the different issues that affect the succession process. Although researchers have acknowledged that succession in family businesses is “punctuated” by decision making events, less attention has been given to understanding how incumbents make decisions about ownership and management transitions. In an effort to continue to understand the succession process it is important to understand how incumbents make decisions about the type of transitions they intend to engage in ( i.e. , intra-family succession, out of family succession, or no succession). Building on the theory of planned behavior and the socioemotional wealth framework (SEW), this manuscript presents a conceptual framework to understand the factors that influence succession transitions and the role that contextual factors can play in this decision-making process. We present theory driven propositions and discuss the implications for understanding and evaluation of the succession process.

Suggested Citation

  • Britta Boyd & Isabel C. Botero & Tomasz A. Fediuk, 2014. "Incumbent Decisions about Succession Transitions in Family Firms: A Conceptual Model," IJFS, MDPI, vol. 2(4), pages 1-24, November.
    • Handle: RePEc:gam:jijfss:v:2:y:2014:i:4:p:335-358:d:41925
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    References listed on IDEAS

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    2. Bell, Catherine, 2019. "Pr - People Of Future Agriculture: Trust And Succession In Family Businesses," 22nd Congress, Tasmania, Australia, March 3-8, 2019 345908, International Farm Management Association.
    3. Bell, Catherine, 2019. "People of Future Agriculture; Trust and Succession in Family Businesses," International Journal of Agricultural Management, Institute of Agricultural Management, vol. 8(3), August.
    4. Ben Akume & Osarumwense Iguisi, 2020. "Developing capabilities for sustainability in family owned SMEs: An emerging market scenario," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 9(6), pages 24-36, October.
    5. Kay, Rosemarie & Pahnke, André & Schlepphorst, Susanne, 2018. "The impact of firm performance on the business transfer mode," Working Papers 04/18, Institut für Mittelstandsforschung (IfM) Bonn.
    6. Esra Memili, 2015. "Performance and Behavior of Family Firms," IJFS, MDPI, vol. 3(3), pages 1-8, September.
    7. Edobor, Edeoba W. & Wiatt, Renee D. & Marshall, Maria I., 2021. "Keeping the farm business in the family: the case of farm and non-farm family businesses in the midwestern United States," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 24(6), February.

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