SUCCESSION PROCESS IN THE FAMILY BUSINESS: A CASE STUDY OF PEKALONGANESE BATIK CLOTH ENTERPRISES, INDONESIA

Purpose: The main purpose of this study is to explain the role of parents in teaching business management to their children from an early age for the success of family business succession. Methodology: It was a qualitative study and data were collected by observation, in-depth interviews, and documentation. The focus of this study was the succession process of the PekalonganBatik business analyzed from the entrepreneurial learning perspective. Interview questions focused on entrepreneurial learning and how parents teaching business management. Interviews conducted into 6 Informants. Each interview took between 35 – 45 minutes. Main Finding: The results of this study showed that parents usually introduced business management to their children from an early age. They made their children involved in the business to know about the planning, producing and marketing of Batik cloths. The indicators of giving entrepreneurial learning to children are involving them in business activities; they learned to manage the business by doing those activities at their parents’business. Implications/Applications: This study can be useful for another batik enterprises center to guidelines for succession. Novelty/Originality: This research was to explore the parents to involve their children from an early age to help manage businesses in preparation for business succession.

[1]  Robin Bell,et al.  The father’s role in supporting the son’s business knowledge development process in Vietnamese family businesses , 2019, Journal of Entrepreneurship in Emerging Economies.

[2]  Joseph C. Santora,et al.  Succession in family business: multi-source perspectives , 2017 .

[3]  Marcus Remiasa,et al.  ANALISIS PROSES SUKSESI PERUSAHAAN KELUARGA STUDI PADA PT PUTERASEAN , 2017 .

[4]  M. López-Fernández,et al.  What hampers innovation in Mexican family firms , 2016 .

[5]  M. Nieto,et al.  Does Family Involvement in Management Reduce the Risk of Business Failure? The Moderating Role of Entrepreneurial Orientation , 2016 .

[6]  S. Adedayo Family Conflict and Sustainability of Family Owned Businesses in Lagos and Ogun States, Nigeria , 2016 .

[7]  Esther de Groot,et al.  Informal and formal learning of general practitioners , 2016 .

[8]  Roland E. Kidwell,et al.  Successor Team Dynamics in Family Firms , 2016 .

[9]  Olivier Meier,et al.  The Early Succession Stage of a Family Firm , 2016 .

[10]  Rima M. Bizri Succession in the family business: drivers and pathways , 2016 .

[11]  Michael R. Braun,et al.  All together now: strategy mapping for family businesses , 2016 .

[12]  Jana J. Burch,et al.  Rethinking family business education , 2015 .

[13]  Matthew C. Sonfield,et al.  “Micro” versus “small” family businesses: a multinational analysis , 2015 .

[14]  S. Royer,et al.  Knowledge transfer in family business successions: Implications of knowledge types and transaction atmospheres , 2015 .

[15]  Xin Deng Father-daughter succession in China: facilitators and challenges , 2015 .

[16]  Robert Smith Authoring second-generation entrepreneur and family business stories , 2014 .

[17]  Vinza Firqinia Fristia,et al.  Faktor Penyebab Belum Berkembangnya Industri Kecil Batik Desa Kenongo Kecamatan Tulangan-Sidoarjo , 2014 .

[18]  S. Kraus,et al.  Psychological aspects of succession in family business management , 2013 .

[19]  M. Hnátek Succession Planning and Generational Transition: The Greatest Challenges for Family-owned Businesses , 2012 .

[20]  E. Hamilton Entrepreneurial learning in family business: a situated learning perspective , 2011 .

[21]  E. Hamilton Entrepreneurial learning in family business , 2011 .

[22]  Allison W. Pearson,et al.  A Leadership Perspective of Reciprocal Stewardship in Family Firms , 2010 .

[23]  J. Tata,et al.  Social capital and next-generation succession in the family firm , 2010 .

[24]  Tim Blumentritt,et al.  The Relationship Between Boards and Planning in Family Businesses , 2006 .

[25]  A. Jantunen Knowledge‐processing capabilities and innovative performance: an empirical study , 2005 .

[26]  Pramodita Sharma,et al.  Determinants of Initial Satisfaction with the Succession Process in Family Firms: A Conceptual Model , 2001 .

[27]  Pramodita Sharma,et al.  Strategic Management of the Family Business: Past Research and Future Challenges , 1997 .

[28]  W. Handler Succession in Family Business: A Review of the Research , 1994 .

[29]  W. Handler The Succession Experience of the Next Generation , 1992 .

[30]  Normand Riady Analisis Efektivitas Proses Suksesi Kepemimpinan pada Perusahaan-Perusahaan Keluarga Etnis Tionghoa , 2017 .

[31]  S. J. Kowalewski,et al.  Succession Planning: Evidence from 'Best Companies in New York' , 2011 .