Are Family Owned Businesses in India Disintegrating - Term Paper Example

Download file to see previous pages India being a country with people who have rich shared values and communication within the family, will ever like to allow such family feuds. This is the prime area of the current research to identify the attitude and circumstances with family firms after the reported major family feuds.
Hence the study has considered a case analysis as well as quantitative analysis to identify the factors aided for such feuds as well to observe the trend in the remaining family firms. The study was conducted with the family firms who are in the first, second and third generation of transition. Very few cases include successors after 4th and 5th generation also. The study found a remarkable preparedness among the family firms with high professionalism and education. More than half percent of the studied family firms are executing the succession plan, by training and communicating the succession plan with the successors. Though a minor part of the study group exhibited conflict and sibling rivalry, still they feel the need for a smooth succession plan. The remaining considerable amount of study group is in the stage of preparation of succession plans. The study found that education and communication are directly influencing the preparedness of the successors. With this knowledge, the research found out that Indian firms are acknowledging the need for succession planning and are developing preparedness for succession management.
Most of the Indian Economy is amassed from the Family businesses. It is estimated that 95 percent of the registered firms are family businesses. The success of these Family firms has attained from the rich family culture and values nourished throughout generations.
The family business is a dominant organization form worldwide. ...Download file to see next pagesRead More