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The Influence of Family Culture on Corporate Culture in Family Business - Literature review Example

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This paper under the title "The Influence of Family Culture on Corporate Culture in Family Business" focuses on the fact that most of the companies all over the world started their business as a family enterprise, according to Family Business Network (2006). …
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The Influence of Family Culture on Corporate Culture in Family Business
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Download file to see previous pages Research suggests that family businesses are influenced by a family or by a family relationship, and that perceives itself to be a family business. According to Shanker and Astrachan (1996), the criteria used to define a family business include the percentage of ownership, voting control, power over strategic decisions, the involvement of multiple generations, and active management of family members. Neubauer and Lank (1998), state that a company is considered a family business when it has at least two generations of a family and when this link has had a mutual influence on company policy and on the interests and objectives of the family.
The word ‘culture’ means to cultivate and generally refers to patterns of human activity. Various anthropologists have come with different definitions of culture and each one becomes the basis for understanding or evaluating human activity. Culture is learned and not inherited. Individuals are born into and shaped by that culture which has been existing. This culture influences the way we think, behave and act.
It is known that culture is an important concept to understand the reason why people behave differently. Culture can explain the differences among people because culture influences people’s attitudes and behaviour; it varies within and across nations and within and across ethnicities (Lindsay, 2005). Additionally, culture influences the motives, values, and beliefs of individuals (Hayton, George, & Zahra, 2002) that reflect on their attitudes.
Generally, culture refers to patterns of human activity and the symbolic structures that give such activity significance. Culture has been called "the way of life for an entire society." As such, it includes codes of manners, dress, language, religion, rituals, norms of behaviour such as law and morality, and systems of belief. Different definitions of "culture" reflect different theoretical bases for understanding, or criteria for evaluating, human activity (Wikipedia, 2007).   ...Download file to see next pagesRead More
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