Family social capital as a driver to leverage challenged transgenerational entrepreneurship

Abstract

The purpose of the study is to unveil the key role of family social capital (FSC) as a driver for transgenerational entrepreneurship (TE) in the specific contexts of challenged successor-driven entrepreneurship. Design/methodology/approach: The paper adopts a multi-case study methodology. Guided by three theoretical propositions, three TE case studies are analyzed. Drawing on ten in-depth interviews with at least three different informants from each intra-family succession case study, evidence about this particularly complex phenomenon was obtained. Findings: The paper highlights the effect of FSC as the key familiness driver to leverage challenged successor-driven entrepreneurship. The paper underscores the systemic and dynamic network of multiple exchanges required to construct successor’s own pool of knowledge resources and to support familiness and thus the competitive advantage of the family firm (FF). Practical implications: Different scenarios are illustrated, and specific lessons are provided for successors and families that face TE opposition in intra-family succession, regarding the restoration of damaged FSC and involving non-family stakeholders in the successor-driven entrepreneurship. In these cases, opposition to successor-driven entrepreneurship may help to develop successor’s leadership abilities. Originality/value: Focusing on a specific intra-family succession context where successor-driven entrepreneurial initiatives face stakeholder opposition, the paper highlights the specific role played by FSC in the successor knowledge construction in specific contexts of challenged intra-family succession.