• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.1
• /
• pp.803-811
• /
• 2021

A family business is a company where most of its capital and the management position is owned by family members (clan). The leader plays an important role in defining an organization, thus influencing the organization's success. A leader who has a leadership style based on family (clan) relation has the facilitator's role when conflict appears within the organization. This research aims to find the impact of the democratic leadership model on a family business that adopts the clan cultural organization. The independent variable of this research is the democratic leadership model. Meanwhile, the dependent variable is the clan culture within the organization. This research uses a quantitative method with a descriptive and causality type of research. This research population is PT Global Avionika Indonesia staff, where the data was acquired by distributing questionnaires using a saturated sampling technique. The finding in this research shows a positive and significant impact of the democratic leadership model on the clan culture within the organization PT Global Avionika. The determination test also points out that democratic leadership models affect 19.8 percent of the clan culture within the organization, and the rest of 80.2 percent were affected by other factors that were not covered in this research.

• Journal of Families and Better Life
• /
• v.20 no.2
• /
• pp.43-56
• /
• 2002

While there is universal agreement that the ecosystems approach to family resource management is the must influential currently, questions have arisen about the broad applicability of the Deacon & Firebaugh (1988) ecosystems framework. Engberg (1996) has characterized the dominant approach in family resource management as technical and argued that a technical approach substantially restricts feasible actions in much of the world and should not be used in ethical practice. The purpose of the present paper is to compare the family resource management patterns by dual role manager of business owning families in Korea and The United States. Such a comparison is an essential step in the assessment of the usefulness of the Deacon & Firebaugh framework, in particular, and the ecosystems framework, more generally. Korean respondents are 105 family and business managers interviewed in 2000 as part of a survey of owners of small to medium size family business enterprises in Seoul. U.S. respondents are 259 dual role managers in the National Family Business Survey (NFBS 1997). Chi squared statistics indicated country differences on each of the ten(goal setting, standard setting, demand clarification, resource assessment, action sequencing, actuating, checking, adjusting, demand responses, resource change)management practices. Mean responses on eight of the practices(goal setting, standard setting, action sequencing, actuating, checking, adjusting, demand responses, resource changes) were significantly different between two countries. U.S. total score means of family resource management were higher than Korea. Factor analysis of the management scale items yielded different patterns for Korea, and the United States. Korean dual role manager of family business were categorized into three different patterns as classic oriented manager, goal oriented manager, action oriented manager and U.S. were categorized into Process oriented manager and Production oriented manager. Both the number of managerial strategies and the types of strategies used varied in the two countries.

• Journal of Family Resource Management and Policy Review
• /
• v.5 no.1
• /
• pp.79-95
• /
• 2001

The purpose of this study is to provide basic data for the future studies on the succession of family business by investing its current condition and related variables in which it is sustained through the transfer of thier ownership and management right. The findings showed that job satisfaction is supposed to depend on the ownership of business-place and number of employees. That is, respondents who have the ownership of the business-place and employ more workers were more satisfied with their jobs than those who rented the work-place and have fewer employees. Variables affecting the whether or not the family business will be inherited are composed of who owned the business-place, how many workers are employed and how satisfied the workers are with their jobs.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.5
• /
• pp.697-706
• /
• 2021

This quantitative study aims to examine the effect of family ownership on company performance empirically. Specifically, this study examines the moderating effect of corporate governance on the relationship between family ownership and company performance which has never been explored in the previous studies. This study's main target population was all listed companies in the Indonesian Capital Market Directory (ICMD) for 2008-2018. The study used criteria, namely data completeness, to measure research variables and obtained 2996 data or firm-year observations. The research contingency model to test the proposed hypothesis was the General Moment Method (GMM). The study presents the results of data descriptions shows the average, median, maximum, minimum, and standard deviation values for each variable. The descriptive data shows that family ownership is common in Indonesia: 64% of 244 companies in the sample. The inferential analysis results using a multiple regression model test show that family ownership significantly reduces company performance. However, corporate governance proxied by the board of directors, managerial risk profile, and independent commissioners significantly moderate the relationship between family ownership and company performance. Besides, the managerial risk profile and independent commissioners strengthened while the board of commissioners' presence weakened the effect of family ownership on performance.

• Asia-Pacific Journal of Business
• /
• v.10 no.4
• /
• pp.77-86
• /
• 2019

The purpose of this study is to examine how the characteristics of family firms affect stock price crash risk. Prior studies argued that the opacity of information due to agency problem causes a plunge in stock prices. The governance characteristics of family firms can increase information opacity which leads to crash risk. Therefore, this study verifies whether family firms have a high possibility of stock price crash risk. We use a logistic regression model to test the relationship between family firms and stock price crash risk using listed firms listed on the Korean Stock Exchange during the fiscal years 2011 through 2017. The family firm is defined as the case where the controlling shareholder is the chief executive officer or the registered executive. If the controlling shareholder's share is less than 5%, it is not considered a family business. We found that family firms are more likely to experience a plunge in stock prices. This supports the hypothesis of this study that passive information disclosure behavior and information opacity of family firms increase stock price crash risk.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.4
• /
• pp.1013-1020
• /
• 2021

This study examines the role of dynamic socio-emotional capabilities to increase proactive stakeholder engagement in family businesses. The research sample includes all furniture enterprises scattered in Jepara Regency sub-districts as many as 3,945 companies. The sampling in this research is purposive; as many as 210 respondents, 181 could be used. The sampling unit is the owners and managers, considering that most company owners are also company managers. This study examines how learning and supply chain management in the family business can be integrated to enable a set of resources and capabilities provided by the family to be developed to build closer relationships with stakeholders. The findings showed the importance of a family business's supply chain management perspective in the relationship between dynamic socio-emotional capabilities to mediate organizational learning to proactive stakeholder engagement significantly. Based on this study's results, companies can build dynamic socio-emotional capabilities through organizational learning to increase proactive stakeholder engagement. Dynamic socio-emotional capabilities proved to play a role as a mediator for organizational learning by family companies for proactive stakeholder engagement.

• Journal of Families and Better Life
• /
• v.19 no.4
• /
• pp.121-135
• /
• 2001

This study examines the real states of family businesses through the interview to the owners and their family members of 15 family businesses. Contents of the interview are starting process, goal and long-run plan, marketing, human resource management and financial management. Many owners usually start their business because of unemployment or shortage of job opportunity. So they dont have an business experience or management skill. And owners act passively in sales because they think the sales area is restricted and their stores are well-known. Family members, especially housewives, suffer role conflict and dissatisfaction because there are no rules on wage and responsibility. And many owners use the resource of household to business and vice versa. This is an advantage of family business in the viewpoint of effective use of resource, but it is a confusion of resources in the viewpoint of financial management.

• The Journal of Asian Finance, Economics and Business
• /
• v.4 no.3
• /
• pp.45-56
• /
• 2017

Considerable research has been done on the issue of succession in family businesses. However the process of induction, of preparing the members of the next generation for joining the family business has not been examined in detail. This paper attempts to analyse the relevance of three critical factors - 'quality of relations', 'willingness of the inductee' and 'the ability to manage tensions harmoniously' - to the induction process and the progress of the business. It focuses on the Indian context, specifically in the Small and medium Enterprise (SME) area. Qualitative research has been carried out. The Case Study method is used and data has been gathered from two families (including two branches of one family), using frequent unstructured interviews, over a period of five years. It is concluded that positive impact on business, family and the inductee depends to a large extent on the quality of relations, willingness of the inductee and the ability of both the inductor and inductee to handle and manage the tensions. Thus the findings of the study extend current understanding about succession drivers to the specific context of eastern cultural and developing economy represented by the Indian family businesses in the small and medium enterprise sector.

• The Journal of Asian Finance, Economics and Business
• /
• v.9 no.3
• /
• pp.65-76
• /
• 2022

This study will examine the relationship between social support from the work and family domains, referred to as multiple social network ties (MSNT), and employees' job and family-related performance outcomes during the COVID-19 crisis. The study also demonstrates the importance of employees' work-family balance (WFB) in moderating the association between MSNT and job and family-related performance. A two-wave design was used to collect data from 320 managerial level personnel in Pakistan's textile sector. The path analysis technique of structural equation modelling (SEM) was used to analyze the responses. In times of crisis, social support mechanisms could potentially replace organizational support mechanisms for employees dealing with work and family obligations, according to the study. The findings of this study show that work-family balance is a significant partial mediator between MSNT and employees' job and family-related outcomes during the COVID-19 pandemic, according to a best-fit model. This research supports the pragmatic view of MSNT's action mechanism in generating jobs for employees and family-related results, especially in uncertain situations. According to the findings, employees who have a positive work-life balance are happier and more productive in both work and personal life. It has major implications for human resource management (HRM) research and practice.

• Journal of Family Resource Management and Policy Review
• /
• v.15 no.4
• /
• pp.43-64
• /
• 2011

This study suggests policies to rearrange the status of Health Family Support Centers, targeting hands-on workers and centering on collected problems and improvements. To attain this aim, the study rearranged the materials investigated in 2009. On this basis, the study suggests the following policies. First, Health Family Support Centers changed into Korean Institute Healthy family which could prepare a means for opinion convergence through base organizations. Thus, it is necessary to establish a Gyeonggi-do wide area Health Family Support Center. Second, space and human resource arrangement, suitable to business, are necessary, and so are stable, secure finances. Third, urban areas, agricultural villages, and fishing villages are distributed across Gyeonggi-do. Thus, the development of specialized business, suitable to Gyeonggi-do, is necessary. Consequently, this study suggests executing obligatory family education (education for engaged couples, education for parents). Fourth, case management models, unique to Health Family Support Centers, have to be developed, as well as unified services related to education, counseling, and cultural businesses. Fifth, the Health Family Support Center has to secure its own status as a hub organization of inter-regional family businesses, has to strengthen its organizational identity, and has to promote suitable business development.