A Case Study of a Family Business Navigating Generational Transitions

Rezumat

This study delves into the dynamics of a family-owned business, focusing on succession planning and generational transitions within the context of the Philippines. The purpose of this research is to investigate how cultural, societal, and familial factors influence business management, decision-making processes, and the continuity of family businesses across generations.

The methodological approach involved a qualitative case study of the family-owned business, renowned for their copra and pharmacy businesses. Data collection methods included interviews, observations, and document analysis, providing rich insights into the family's business practices and succession strategies.  Results reveal that the nuclear family structure, coupled with cultural influences, shapes the family's approach to business management and succession planning. Challenges such as the lack of interest from the younger generation and geographic dispersion of family members were identified. However, opportunities arise from democratic decision-making, inclusivity, and leveraging technology for communication and decision-making processes.

Based on the findings, the study recommends formalizing succession planning processes, developing structured training programs for potential successors, and fostering trust and effective delegation within the family business. These strategies can enhance continuity, sustainability, and performance across generational transitions.  In conclusion, this research sheds light on the complexities and opportunities inherent in family-owned businesses, providing practical insights for family business owners, advisors, and scholars aiming to navigate the challenges of succession planning and generational transitions.