Boundaries and the Functioning of Family and Business Systems

The purposes of the present study were to: (1) examine connections between performance success and the boundaries between families and the businesses they own and (2) explore whether boundary-performance links were mediated by satisfaction. Tests of the mediation hypothesis revealed that family satisfaction partially mediated connections between boundaries and family functioning. Business satisfaction fully mediated connections between boundary characteristics and business strengths, but did not mediate the relationship between boundary characteristics and cash flow problems. Although previous literature suggests that permeable boundaries (i.e. enmeshment) are especially problematic for family firms, this appears to be only partially true.     

Adjustment Strategies in the Family Business: Implications of Gender and Management Role

Four gender/role categories are compared to ascertain the influence that gender and management roles and related characteristics have on adjustment strategies selected during hectic times in the family or the family business. The five adjustment strategies involve reallocation of family or business tasks, intertwining tasks, using volunteer help and hiring outside help. Data are from the 1997 National Family Business Study (n = 673). Findings from multiple regression analysis indicate that, with the exception of intertwining tasks, there are not significant differences between men and women on adjustment strategies when controlling for family and business demands and human resources. Single-role managers are more likely to reallocate family resources to the business than are two-role managers, regardless of gender.     

The Differences in Financial Structure Between Women- and Men-Owned Family Businesses

Lenders often are faced with the challenge of evaluating the financial success of a business or a proposed business by examining the financial records of the household, reasoning that an assessment of the household's financial position should be a plausible indicator of the financial status of the business. Utilizing data from the recently released Family Business Survey, this study uses financial information about both the family and the business to examine the relationship between household financial indicators and business financial indicators for women- and men-owned family businesses. The results suggest that, while household financial statements may be good indicators for men-owned businesses, they appear to be much less reliable for women-owned businesses.     

Family Structure,Policy Shocks,and Family Business Adjustment Choices

This research used survey data collected between 2005 and 2006 in rural Kentucky to empirically investigate how different types of rural households in Kentucky cope with the changes in economic environment during the post-tobacco buyout by employing two different family business models, the Agricultural Household Model and the Sustainable Family Business Model. Data were analyzed using a multinomial probit model. The results indicate that multi-generational households were more likely to invest in low risk investments and less likely to employ a family member off-farm than couples with young children. Therefore, family structure plays an important part in the types of adjustment strategies chosen by farm families. The results also indicate that the Sustainable Family Business Model is a better predictor of the observed correlation between family structure and family farms’ choices of adaptation strategies.     

Merging Family and Firm: An Integrated Systems Approach to Process and Change

The blurring of family and business in family businesses can create tremendous stress for all family members. Scholars have been unsuccessful in applying task-oriented, business-based models to a business in which the boundaries between task and family blur and overlap. This article integrates current research and theory related to family interaction, organizational dynamics, and family businesses to present a conceptual framework that details the complex inner workings of family businesses and helps guide those who study and work with them.     

Inclusion and Control in Resort Family Businesses: A Developmental Approach to Conflict

This study investigated the relationship between inclusion tension and business and family conflict intensity for 183 couples in resort family businesses. Using path analysis, age, education, role, and decision involvement discrepancy predicted husbands' inclusion tension, and inclusion tension predicted their business and family conflict intensity. Age, locus of control, and gross sales predicted inclusion tension for wives; inclusion tension predicted wives' business and family conflict intensity. Age had an indirect effect for husbands on their inclusion tension and their business conflict intensity, whereas the role involvement discrepancy had an indirect effect on husbands' business conflict intensity. For wives, age had an indirect effect on their business conflict intensity, and locus of control had an indirect effect on wives' business as well as family conflict intensity.     

Gender Differences in Perceived Business Success and Profit Growth Among Family Business Managers

Using data from the 1997–2000 National Family Business Surveys (NFBS), this study investigated the effect of gender on business success and profit growth among family businesses. The Ordinary Least Squares (OLS) results indicate that all else being equal, female managers perceived their businesses as more successful than male managers, and they reported more profit growth between 1996 and 1999 than male managers. The results of the dummy variable interaction approach also show that a differential response existed in profit growth over time between female and male managers in relation to health status, business liabilities, business size, and whether the business was home-based. This study concludes that there are many distinct differences between male and female managers in business performance.     

Family Home Businesses: Who Buys Health Insurance?

This study uses data from the Cooperative States Regional Research Project NE-167 to examine the factors that influence family home business owners in purchasing health insurance. Results indicate that net business income, full-time work, and a hospital reimbursement rate are positively related to the likelihood of buying health insurance although income from other sources is negatively related to purchasing it. Being male, a contractor, and having more education also indicates a greater probability of buying insurance. Implications for working with self-employed families are discussed.     

When work keeps us apart: a thematic analysis of the experience of business travellers

Whilst business travel is deemed important for organisational success and economic outcomes, little is known about the actual process of business travelling from the perspective of individuals who undertake such travel on a regular basis. Thus the current qualitative study examined how business travellers (three women and eight men) attempt to find a balance between work and family, by focusing on how time together and time apart are experienced. The results can be interpreted and framed within work/family border theory in that business travellers' borders are less defined and less permeable, thus requiring them to border-cross more frequently. This necessitates a process of negotiation with key border-keepers (their spouse/partner). Business travellers also undertake compensatory behaviours to make up their time away from family. In order to find a work/family balance, they go through a process of adapting, negotiating and tailoring their lives around their work commitments to alleviate work–life conflict.     

Use of Overseas Migrants' Remittances to the Extended Family for Business Investment: A Research Note1

Abstract The extended family's role in economic improvement has been extensively debated. From a modernization theory perspective, the extended family is viewed as an institutional obstacle to economic progress, while a social capital perspective suggests that it is an “engine” insofar as it permits individuals to activate networks and pool resources beyond their own. This paper examines, from these perspectives, extended family influences on the use of remittances from transnational migrants. The research asks whether family influences are positive or negative and are more or less important than other factors in determining business investments. The research draws on interviews with 170 family heads in a small community in Pakistan. The results show that relatively little remittance income from family members working in the Middle East was channeled into business investments, despite government incentives offered to migrant households. Most of the extended family measures used in the research are statistically unimportant in explaining level of business investment. There thus appears to be little support for either modernization theory or social capital arguments on the role of the extended family. Of the five operationalized extended family dimensions only one was related to business investment, and that positively. However, “family” considerations are not irrelevant. The best predictors of business investment were a preexisting level of business exposure/experience within the family and whether or not the family head was aware of business investment opportunities. The results raise questions about the need to reconceptualize family influences beyond the formal dimensions of extended family structure.     

Women in Business-owning Families: a Comparison of Roles,Responsibilities and Predictors of Family Functionality

The purpose of this study is to compare groups of women associated with family businesses and ascertain predictors of functionality. The sample consisted of 589 women divided into five groups based on their roles in the business. Of interest were various combinations of work at home, in the family business, and outside the business and how multiple roles affect the family. The women varied on several characteristics with female business managers less likely to be married than other women and generally operating smaller businesses. The women were not significantly different on levels of family functioning. Family goal success, satisfaction with business role, and being married were positive significant predictors of family functionality. Higher levels of household tension were negatively associated with family functionality. Family therapists and family business consultants must be cognizant of the multiple role responsibilities of women associated with a family firm.     

Integrating Family Resilience and Family Stress Theory

The construct, family resilience, has been defined and applied very differently by those who are primarily clinical practitioners and those who are primarily researchers in the family field. In thisarticle, the family resilience perspective is integrated with conceptual definitions from family stress theory using the Family Adjustment and Adaptation Response (FAAR) Model in an effort to clarify distinctions between family resiliency as capacity and family resilience as a process. The family resilience process is discussed in terms of (a) the meaning of significant risk exposure (vs. the normal challenges of family life) and (b) the importance of making conceptual and operational distinctions between family system outcomes and family protective processes. Recommendations for future family resilience research are discussed.     

The Economic Organization of Extended Family Households by Race or Ethnicity and Socioeconomic Status

This study examines differences in the amount of economic support or mutual benefit derived from extended family living arrangements by studying differences in monetary contributions to essential household expenditures across family units in extended family households. Using the 2008 Survey of Income and Program Participation, multivariate regression and selection models are estimated to assess racial differences in family contributions toward household expenses in extended family households. Extended family households have very unequal monetary contributions toward household rent and utilities, although Hispanics have less unequal monetary contributions when compared with other racial groups. Hispanic and Asian extended family households experience decreasing inequality in financial contributions as the income of each family increases, whereas no relationship between financial contributions and income is found for Whites or Blacks. This suggests a different cultural orientation to extended family living arrangements for Asians and Hispanics when compared with non‐Hispanic Whites.     

Family involvement in small,local nongovernmental organizations

The involvement of family members in nongovernmental organizations (NGOs) has been largely overlooked in the literature on the nonprofit and voluntary sector. This study draws on the family business literature to explore the main features of family involvement and the implications for organizational survival and effectiveness. It shows that the family is an important research variable. Exploring the NGO sector in India, the article demonstrates that family involvement can significantly influence the management of human and material resources, governance, and decision making. Although there are several advantages to family involvement, a large overlap of family and organization can threaten credibility and legitimacy. Family‐based NGOs must stress their value orientation to counter negative perceptions.     

Factors Influencing Family Business Continuity in Indian Small and Medium Enterprises (SMEs)

Most of the research on family business continuity is based in the western world. Continuity of family business is affected by social and cultural factors on one hand and on the stage of growth of the economy on the other. This paper focuses on the continuity concerns with reference to (1) the Eastern context and (2) the developing economy’s context, by studying Indian family businesses, with (3) specific focus on Small and Medium Enterprises (SMEs). Data were collected from SME business families using a questionnaire. The impact of various factors was examined on the family, the business and the inductee. This empirical study validates some of the drivers of effective succession identified so far in the literature. It sharply identifies the variables that can be more relevant and can directly affect the outcome in terms of positive impact on the business, family and the inductee. The findings of the study will be of great help in successful succession planning for the growth and development of SMEs that contribute significantly to economic growth.     

Family Business Responses to Household and Business Cash-Flow Problems

Family businesses can experience cash-flow problems in the business and also in the household. This article used bivariate analysis to examine the effect of cash-flow problems on normative resource transfers between the business and the household and found that the family business responded to business cash-flow problems by reducing the business’s contribution to household income, but household cash-flow problems did not affect the business’s contribution to household income.     

Family networks and solidarity: continuity and change

At the end of the 1960s it had become obvious that the family as an object of analysis could not be reduced to the nuclear family. During the following decades, the focus of analysis has shifted from the statistical concept of household, implicitly related to the nuclear family to ties between households and intergenerational relationships. At present, it appears that the individual would shape her entourage of parents and significant others by combining affinities, space, distance, and proximity. This opens a new way of looking at the family with new tools for observation and new definitions. This themed section includes six articles based on surveys on the family networks conducted by researchers from different European countries and Quebec, where some fundamental questions related to this new approach are discussed. It appears that family networks play an important role in supporting social change and that they reveal the crucial role played by women hidden in the household and nuclear family paradigm. Finally, the question of continuity of the generational chain is analyzed in the change-oriented baby-boom generation.     

Dependency or Self-Reliance? The Contradictory Case of Work in UK Small Business Families

The focus of this article is a relatively neglected area of social and family policy: its relationship with small business. Economic policy makers have encouraged enterprise, particularly in the form of small business, as a solution to problems of competitiveness and economic growth. The article uncovers what an enterprise culture actually means for some of those families who first embarked upon business ownership in the 1980s in the UK Using data from a qualitative study, it contends that, in contradiction to the enterprise rhetoric, for micro-businesses owners and their families, values of self-reliance and dependency often are found as opposite characteristics necessary for the success of a small business. A recent survey of micro-businesses in contrasting British regional economies suggests that such experiences are likely to be found amongst a substantial proportion of micro-businesses.     

Is What’s Good for the Business,Good for the Family: A Financial Assessment

Small business prosperity doesn’t necessarily translate into family prosperity. This study utilizes the first and second waves of the National Family Business Survey to explore the influence of changes in key business financial measures on objective and subjective measures of family success. Increases in the available cash in the business from higher gross sales or net profits brings more cash into the household, while increases in the market value of the business increases the amount of money spent on other household assets. A more subjective assessment suggests that positive changes in the business financial measures create a more positive perception of the business’ success; however, these positive changes have no influence on a more positive perception of the family’s success.     

The Business Environment Perceived by Foreign Investors in the Region Transylvania,Romania

The paper provides an overview of the perception of the business environment by foreign investors in Transylvania (Romania) as a result of a survey conducted on firms with foreign capital in this region. The first part of our study considers general information about the companies in the sample, regarding size, type of contribution, domain of activity, market, and other aspects. The second part of the study deals with factors concerning the location decision: the factors that influenced the success of operations and impediments and barriers encountered. The fact that despite several obstacles, the business environment is perceived by the majority of investors as a good one, allows the conclusion that the transformation process of the economy is moving in the right direction.