FAMILY BUSINESS SUCCESSION: THE CASE IN MALAYSIA
DOI:
https://doi.org/10.55197/qjssh.v4i6.306Keywords:
family business, key success factors, small and medium-sized enterprises, MalaysiaAbstract
This study examines the key factors that determine the key success factors for Malaysian family businesses from various perspectives, including the nature of family, business, and successor. As family businesses are the primary context of the study, the 125 respondents are consisting of business owners, successors, or potential successors of family-owned small and medium-sized enterprises (SMEs). All respondents are in any state of West and East Malaysia that have been incorporated for more than 10 years. Multiple regressions, ANOVA, and descriptive statistics are used to analyse the data in this study. The results indicate that the management succession of Malaysian family firms is significantly impacted by successor-related factors and the efficiency of the succession process. Family and business-related elements were found to have a negligible impact on the management succession of the family business since these characteristics are directly influenced by a successor's motivation to take over or engage in the family firm. The findings assist the family business owner in succession planning, communication, governance, and decision-making including financial transparency.
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