• The Journal of Asian Finance, Economics and Business
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• v.8 no.5
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• pp.851-861
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• 2021

This study aims to explore the specific risks in family small-medium enterprises (SMEs) and explain how they manage these risks to sustain and expand. In Indonesia, family business composes around 95 percent of all businesses and contributes about 80 percent to the country's economy. SMEs contribute approximately 57.8 percent to the nation's gross domestic product. Risk management poses challenges to the family business's survival, as family members do not take actions on risk. The assessment of risk is difficult and family businesses lack the ability to determine risk management priorities, including risk management review processes to evaluate risk, thus leading to family business failures. Applying the case study approach, in-depth semi-structured interviews were conducted in seven family SMEs comprising fifteen informants. Additionally, a focus group discussion consisting of three experts is conducted to reaffirm the findings from the interviews, observations, and field notes. The research identified the specific risks and how the family owners strategize to safeguard against these risks such as cash flow deficiency, operations dysfunction, cultural frailty, disharmony, transgenerational entrepreneurship failure, political uncertainty, and unprofessionalism. Comprehending these risks and their strategic decisions elucidated in this research could enable the family owners and key non-family professionals to work hand-in-hand to thrive over the family business risks together. Further avenues of research regarding family business risk management are also suggested in this study.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.8
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• pp.625-633
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• 2020

This study aims to empirically investigate the influence of organizational capability and organizational learning on the financial performance of family-business type small- and medium-sized enterprises (SMEs). In addition, this study examines the moderating role of SMEs' ages and the managers' experiences in the relationship between organizational capability and organizational learning on the SMEs financial performance. This study is a basic exploratory research conducted by using an empirical survey, i.e., sampling of the businessman (the owner) of family-business type SMEs cross-functional in the area of DIY. The study uses purposive sampling. The respondents are the SME businessmen from the various business sectors in Yogyakarta, Indonesia. The number of respondents is 150. Hypothesis testing used SPSS program's moderation regression approach; validity and reliability testing used confirmatory factor analysis and Cronbach's alpha. The result of this study shows that organizational capability positively and significantly affects the financial performance. Also, organizational learning significantly affects the financial performance. The organization's age factor does not moderate the relationship between organizational capability and the financial performance, but it is significant on the organizational learning. The factor of manager's experience moderates insignificantly on the relationship between organizational capability and financial performance. However, it is significant to the organizational learning.

• International Commerce and Information Review
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• v.15 no.4
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• pp.341-366
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• 2013

The term, Mittelstand, has no exact english translation for the definition, but, today, Mittelstand refers to small and medium-sized enterprises(SME), mostly family-owned firms in Germany. The Mittelstand is called the backbone of the German economy because it drove the economic miracle after World War II. During the global recession and the euro zone's debt crisis in recent years, in which european businesses have faced the near-collapse of competitiveness particularly in manufacturing, the German exports are booming and exceeded exports of China in 2012. Most importantly, the Germany economic performance has been widely attributed to the strength of the Mittelstand. Many of countries, even some leading public companies are seeking to emulate the success of the Mittelstand. Investors evaluate that many of Germany's investable "hidden champions" are Mittelstand companies. The purpose of this study is to present some of answers to the following questions: Firstly, what makes the German Mittelstand so successful? Secondly, what does the success of the German Mittelstand mean for the Korean SMEs in global competitiveness? Thirdly, what Korean government has to do improve the global competitiveness of the Korean SMEs? Some discussions in this study mention the managerial implications for Korean exporting SMEs particularly in manufacturing. Several factors that account for the success of the German Mittelstand are technological excellence and the tradition of family-owned management, concentration on niche market and globalization, and institutional supports. There are some of important lessons to be learned from the German Mittelstand. If the purposes of Korean SMEs want to remain in the sustainable competitive advantage and withstand unforeseen economic turbulences in the future, they must be able to meet the followings: 1) Technology that meets the global standard or exceeding it 2) Competitiveness in price in the global market 3) Active involvement in the globalization process, utilizing various entry modes Innovative products at globally competitive price are a crucial point for Korean exporting SMEs to achieve their competitive edge over others in the target markets abroad. It is time for Korean SMEs to cultivate a core competence in manufacturing in order to position Korea as a global manufacturing hub with SMEs leading.

• Journal of Venture Innovation
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• v.6 no.2
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• pp.21-39
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• 2023

The study investigates the impact of family ownership heterogeneity on the internationalization decisions of family-owned enterprises from ICT sectors in South Korea. The study uses prospect theory to explore the relationship between ownership structure and internationalization. The study finds that as performance improves, the ultimate owner (CEO) is negatively related to internationalization, while other family members are positively related, demonstrating the heterogeneous behavior of family members. The study suggests that the ultimate owner (CEO) tends to avoid risks associated with internationalization, while other family members are willing to take risks. To better understand the various risk behaviors of family firms regarding internationalization, the inherent heterogeneity of family firms, particularly in light of different risk behaviors between the ultimate owner (CEO) and other family members, may explain the inconsistent results in studies on the effect of family ownership on internationalization.

• Korean Journal of Organic Agriculture
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• v.23 no.4
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• pp.749-756
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• 2015

This study aims at identifying the characteristics of family-owner firms from the business studies and searching for the usefulness of the concept for the farming research. From the 1980s, there have been a lot of studies on family business which found out its different features in term of management characteristics. Exploring the concept of the family business, this tries to figure out any kind of similarities of the family farm concept which could be applied for the studies on identifying novel characteristics of contemporary family farms in capitalised societies.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.10 no.2
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• pp.107-120
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• 2015

This study compares own-brand exporting SMEs' utilization of various government-run exporting service programs that provided support in searching for overseas distributors, in overseas market research, and in marketing support. Researchers measure how important firms found each of these components of the program, as well as firms' satisfaction with these services, based on the type of product exported (industrial vs. consumer goods) and the level of economic development of the host countries (developed, newly industrialized, and developing.) A total of 245 own-brand exporting SMEs were surveyed and analyzed in this study. Results indicated that KOTRA was the most frequently used organization by the sample SMEs, regardless of the product type and the economic level of host countries. Industrial-goods exporting SMEs found support in searching for overseas distributors more important than consumer-goods exporting SMEs. SMEs exporting to developed countries considered overseas market research and marketing support and searching for overseas distributor programs more important than SMEs exporting to NIE or developing countries. In addition, industrial-goods exporting SMEs were more satisfied with the overseas market research and marketing support and searching for overseas distributor programs than consumer-goods exporting SMEs. However, there were no differences in satisfaction among firms based on the level of economic development of host countries. Several cases of significant correlations between the importance of and satisfaction with the utilization of government exporting service programs were found.

• International Commerce and Information Review
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• v.17 no.2
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• pp.123-150
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• 2015

The present study examined the moderating influences of firm type(B2B, B2C) on the relationships between SMEs' utilization of government export assistance programs, firm capabilities(marketing & technology capabilities) and export performances(financial and strategic performances). The results of regression analyses on 247 B2B and 137 B2C cases showed that the positive influence of utilization of export assistance programs on financial performance was greater for B2B than for B2C SMEs. This construct, however, had no influence on strategic performance for neither B2B nor B2C cases. Further, both marketing and technology capabilities have positive influences on each of financial and strategic performances. Marketing capability, however, had a greater influence on financial performance for B2C than for B2B SMEs. Technology capability had a greater influence on financial performance for B2B than for B2C SMEs. Implications, limitations, and future studies were also discussed.

• The Journal of the Korea Contents Association
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• v.22 no.5
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• pp.223-234
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• 2022

This study demonstrated the relationship between members' perception of meaning of work and turnover intention and analyzed the moderating effect of work-family promotion efforts. To this end, data were obtained through a survey of 143 SME workers in Busan, and the results were used for analysis. As a result of the study, first, it was possible to confirm a negative (-) relationship with turnover intention when members in the organization positively perceived the meaning and value of their work. In addition, it was confirmed that efforts to promote work-family within the organization showed a moderating effect in this process. Based on these results, the following implications were derived. First, SMEs operate somewhat insufficient treatment and welfare systems compared to large companies, so they should pay more attention to the design and operation of various personnel systems so that they can recognize the organization's growth potential and technical advantage and meaning of work. In particular, in the case of rapidly growing SMEs, institutional support for work-family promotion may be insufficient, and the importance of introducing and operating a system to further revitalize it was suggested.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.10 no.1
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• pp.199-210
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• 2015

This study analyzes various aspects of the successful overseas expansion of SMEs that export consumer goods with their own brands. Through in-depth interviews with CEOs and marketing practitioners of fifteen SMEs that export consumer goods of their own brands, researchers examined the determinants of the decisions to export own-brand products, forms of expansion into foreign markets, firms' distribution networks, firms' technological and marketing capabilities, export barriers, and export support services offered by the government. The results indicate that these companies obtained competitiveness in the design and quality of their products through steady R&D investment, with a focus on niche markets. This study also shows that they established foreign branches, participated in overseas trade fairs, and tapped into foreign markets with Korean home shopping channels and department stores to build distribution channels and to find new buyers. However, the findings of this study reveal that many of those companies export both OEM/OEM products as well as their own-brand products due to the low level of brand awareness in foreign markets. Thus, efforts to improve their brand awareness in the global market are much needed. In addition, this paper demonstrates that the programs and services provided by state-run organizations need improvement in credibility and expertise. This research suggests recommendations for successful export programs, and provides meaningful insights for consumer-goods SMEs establishing foreign market entry strategies with their own brands.

• Management & Information Systems Review
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• v.36 no.2
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• pp.37-58
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• 2017

This study analyzed the effect of how much work-family conflict affect on job involvement and life satisfaction and the effect of moderating effect of demographic characteristics in Mongolia SMEs. For these, this study explores theoretical background about work-family conflict(work interference with family conflict, family interference work conflict), job involvement and life satisfaction, then derived research framework and hypotheses from exploration of theoretical background. According to hypothesis testing result, first, work interference with family conflict has negative effect on life satisfaction. Second, family interference work conflict has negative effect on job involvement and life satisfaction. Third, there is not significance of moderating effect of demographic characteristics between work-family conflict and job involvement/life satisfaction. The main implication of this study is to promote leader's change of awareness about work-family conflict management, to institute flexible work arrangements and selective implementation of a maternity leave and a parental leave and to establish an evaluation system.