Personality trait imprints across generations: small family business context

Abstract

PurposeThe purpose of this study is to investigate how the congruence between predecessor and successor personality traits (PTs) with the values of their small family business (SFB) contributes to a successful succession transition across generations.Design/methodology/approachThe conceptual model method was employed in this investigation, which describes an entity and identifies issues that should be considered in a study (MacInnis, 2011). It involves a form of theorizing that seeks to create a nomological network around the focal concept, to examine and detail the causal linkages and mechanisms at play (Delbridge and Fiss, 2013).FindingsDrawing on the trait activation theory (TAT), this study conceptualizes that the congruence of the successor's PTs with those of the predecessor, as well as the values, transitions and nature of the assigned task, activates the successor's PTs and motivates him to work diligently for a successful succession transition while preserving the business's core values established by the founder.Research limitations/implicationsThis study is an eye-opener for strategists and SFB predecessors to ponder the successor's PTs disparities across generations. Additionally, it urges them to consider the congruence of SFB's values and nature of operations with the successor's PTs for successful succession transition. Thus, such awareness may contribute to stabilizing the SFB's survival rate.Originality/valueThis study contributed to the existing literature by answering how predecessor’s and successor's PTs congruence and SFB's values and nature of operations congruence with their PTs may contribute to successful succession transition across generations. This study contributed to the TAT by thematically explaining the organizational cues to bridge a relationship between entrepreneurial personality traits (EPT) and succession success of SFBs.

Does congruence between a descendant entrepreneur’s personality traits and family business values matter for succession?

“…More specifically, a family firm’s values have a potent influence over the family business, as they contain long-term visions for the family firm’s performance and survival across generations (succession success) ( Rau et al, 2019 ; Jiatong et al, 2021 ). Thus, the congruence of family business’s values with the descendant entrepreneur is an important predictor for succession success in the family business literature ( Ahmad et al, 2022 ).…”

Does female descendent entrepreneur's self-compassion and financial literacy matter for succession success?

“…Despite this alarming situation, studies investigating the factors that can improve the likelihood of successful succession transition of S-FB are scarce. In addition, entrepreneurial literature demands further investigations to improve the survival rate of S-FBs across generations (successful succession transition) (Ahmad et al ., 2022b).…”