Analysis of Small Family Business in Gondanglegi Malang District

DOI

10.2991/assehr.k.210413.033How to use a DOI?

Keywords

family business, entrepreneurial values, succession

Abstract

The purpose of this research is to find, analyse and build theories on family business. The subjects of this research are three family businesses that have been run by two generations. The three research subjects are located in Gondanglegi, Malang Regency. Referring to these objectives, the research was carried out with an inductive approach using qualitative methods and a strategy to construct the theory of research findings was a multicross case study. There are several propositions found in this study as theoretical input on the development of family businesses: (1) Entrepreneurial values in the family business of the Gondanglegi community appear naturally in all generations, with higher educational backgrounds and the latest information insights make Entrepreneurial values increasingly exist; (2) Small family business are not like a professionally managed organizational culture, there is no professional management system, there are no formal business agreements between family members, and the HR recruitment system is also carried out differently from conventional company. The general organizational culture that exists in conventional companies cannot be fully applied to family businesses at the three sites in this study; (3) The dynamics of family business development that occur are highly dependent on the ability of leaders to run and develop a family business. In the first generation its development tends to slow down, while in the second generation its development is very rapid, the scale of business globally increases many times over; (4) Succession in the family business can exist when there is full, sincere, free support from the old and the new generations. Succession in the family business also closes the opportunity for others outside the family members to enter the family business. The process of introducing a business is carried out by parents to their future generations from an early age, this can be seen from the efforts of parents to carefully see and connect the desires of their children with the family business that is being carried out.

Copyright

© 2021, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Affan Afian
PY  - 2021
DA  - 2021/04/14
TI  - Analysis of Small Family Business in Gondanglegi Malang District
BT  - Proceedings of the 2nd Annual Conference on Social Science and Humanities (ANCOSH 2020)
PB  - Atlantis Press
SP  - 142
EP  - 146
SN  - 2352-5398
UR  - https://doi.org/10.2991/assehr.k.210413.033
DO  - 10.2991/assehr.k.210413.033
ID  - Afian2021
ER  -