The Entry Decision of Next Generation in Indian Family Businesses: A Study of Patterns, Relationships and Decision Making

Abstract

[DBA Thesis] Purpose: ‘Examining Entry Decision of the next generation in family businesses’, this study aims to understand why and how the next generation chooses specific Entry Decision when entering family businesses, a critical issue for business sustainability. The research problem is the lack of understanding about the thought process of the next generation members in selecting Entry Decision. By addressing this problem, the study seeks to uncover the influencing factors and provide valuable insights for entrepreneurship research, family business sustainability, and policymaking. Method: Employing qualitative analysis, this study conducted 30 semi-structured interviews to delve into the factors influencing the next generation's Entry Decision preferences in family businesses. The data, collected from 10 firms through the online platform Gmeet, was subjected to within-case analysis, allowing for an in-depth examination of each case's unique decision-making processes and contextual factors. This approach facilitated a comprehensive exploration of the complex dynamics surrounding Entry Decision choices within the family business context. Findings: Uncovering key determinants of entry choices, the study's findings reveal significant factors that guide the next generation's Entry Decisions, including their motivations, aspirations, and strategies for joining family businesses. These key findings offer valuable insights into the complex landscape of family business succession and entrepreneurial dynamics. Practical Implications: Informing entrepreneurship strategies and policy decisions, the study's insights, such as the importance of early involvement, intergenerational relationships, and aligning entrepreneurial motives, hold practical implications for both entrepreneurs entering family businesses and policymakers crafting strategies to ensure the longevity and growth of these enterprises. These key implications underscore the significance of nurturing family business traditions while fostering innovation and adaptability for sustained success. Originality: Contributing new insights into Entry Decision dynamics, by addressing the limited understanding of the factors driving Entry Decision choices in family businesses, this research, framed within the context of Intergenerational Solidarity Theory, contributes original perspectives to the field of entrepreneurship and enriches discussions surrounding family business continuity.