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Acquisition Of Authority Of Successors In The Inheritance Of Family Business

Posted on:2020-02-29Degree:DoctorType:Dissertation
Country:ChinaCandidate:F LuFull Text:PDF
GTID:1489305756997439Subject:Sociology
Abstract/Summary:PDF Full Text Request
Family business research is a topic of modern significance.In the past 40 years,from the 1980s to the beginning of the 21st century,this stage is the golden age of the development of family businesses in China.In the process of family business development,the authority of the enterprise plays a key role in resource allocation.During the transition of power,many family enterprises will fail due to the decentralization of the power of the business owner and the lack of authority of the successor.Nowadays,many family-owned business are entering the critical stage of the new and old alternate,they inevitably faces the problem of the inheritance and sustainable development of the family business.In the process of enterprise inheritance,for the successor,just obtaining the ownership and control of the enterprise is only the initial stage of the inheritance of the enterprise.What is more important is how to effectively exercise the right of control from inheritance and transform the power into authority through different action strategies.It is the arduous task of truly completing the enterprise.In other words,with the transformation of enterprises,industrial upgrading and the exit of business owners,the inheritance of family businesses is imminent,but family business inheritance is not only the transfer of the ownership of family business and the right of control,but for successors to gain authority in family businesses,the more important thing is the transmission of non-institutional power such as entrepreneurship,family values and family vision.Studying the power structure,authority to obtain the interaction and function of the two in the family business inheritance process is the basic problem and core clue of the research.In theory,power is the basic element that constitutes authority.It is necessary for us to discuss the power source and power structure if we want to study the way successor to obtain the authority.Similarly,the process of authority acquisition is social,and it is the result of successors adopting different behavioral strategies in inheritance of family businesses.Under the dual pressures of enterprise transformation and industrial upgrading,successors must demonstrate their own personal abilities through actions,and make full use of the non-institutional powers they acquired from their Parents',and they must get rid of the dependence on institutional power.Only in this way can they realize the alternate between legal rational authority to competence authority and position authority,and then establish a new authority in the family business.Based on this,in this paper,the author attempts to put forward the theoretical analysis framework of "power-authority",and regard the successor's power structure and authority as two factors that mutual effect.The action strategy of the is the key link between the power structure and authority.This paper uses the theoretical analysis path of "Power-Authority",take three family businesses as cases,and analyze their inheritance process and the way successor construct authority subject.Then,the author attempts to glimpse in different types of actions,the different forms of the obtain of power structure and authority.Judging from the analysis framework of "power-authority",these three cases are typical of "post-authority deficiency,ascribed-power empowerment weakening","ascribed-power changes into authority" and "post-power changes into authority".From these three cases,we can know the power structure of the successor and the role of power in authority in the inheritance of the enterprise.First of all,from the typical example of "post-authority deficiency,ascribed-power empowerment weakening",we can find that in the process of family business inheritance,the family structure determines the initial power structure of the successor,and the successor often first obtain the institutional powers,such as the ownership of the enterprise and the right of control.And under the protection of fathers,they can rely on the ascribed-power to maintain family harmony and corporate stability temporarily,but power will not automatically transform into authority.With the withdrawal of entrepreneurs,some of the related family resources are gradually declining,and the original network of entrepreneurs will gradually withdraw.This elements bring the successor LH some resistance when he exercising in enterprise,and it becomes difficult for him to exercise power to management normally.In order to stimulate the endogenous motivation of the enterprise and gain the recognition of family members and employees,in order to establish a new authority subjectin the enterprise,LH choose to adopt an aggressive strategy.But LH is not familiar with its own conditions and market conditions,the aggressive strategy that LH adopted ultimately led to the failure of enterprise.The authority has not been recognized by staff,and it has also caused the decline of ascribed-power,formed a management crisis in enterprise,and finally led to the failure of enterprise.Secondly,from the action path of "ascribed-power changes into authority",the successor can choose re-establishment of enterprise development strategy or start up business with others to obtain authority.We all know that in the process of starting a family business,business owners rely on their good quality such as hard-working,assertiveness and the spirit of fighting,won the trust of staff and obtain the ability authority and charismatic authority.But if the successor wants to establish the new authority subject in the enterprise,just relies on the ascribed-power is not enough at all.Thus,after ownership and control of the business,the successor can break the shadow of her fathers "authority"by opening up new territory through transformation and entrepreneurial action,and redefining it.The identity of the "second-generation entrepreneur",and through the maintenance of family relations,institutionalized governance and cultural discipline and other strategies to maintain family authority,create corporate authority and establish social authority,and then gain family members,The recognition of enterprise employees and related interest groups has successfully realized the transformation from empowerment to authoritative production,and then has been re-established as a new authority subject within the enterprise,thus realizing the transformation from "rich second generation" to "second generation entrepreneur".Finally,from the perspective of "post-authoritarianism",the enterprise ownership and control in the hands of his successor,YSH,is not acquired through pure inheritance,but through his own acquired efforts.Get everyone's approval by getting a step-by-step promotion in the position.In this process of business inheritance,she and her father run the company together,her father adopted the"help the horse,send a journey" way of inheritance,help her in the management of the business.In this process,she acquired her father's management experience,and after taking over,she actively created the personal power space through the expansion of social relations and the rational governance of the enterprise.At the same time,it is true within the enterprise institutionalized management and cultural production double-track system to consolidate their position power,on the basis of its management ability and management level has been greatly improved,its personal authority and organizational authority is recognized by family members and business employees.So that the ownership and control of enterprises can be passed on smoothly and smoothly,and transformed into authority in the enterprise inheritance.In a sense,social action is essentially a kind of practice of power,in the inheritance of the enterprise,successor obtain authority by social action,and then the authority will strengthen the power subject in turn.and shape the new identity of in the family business.Using the"Power-Authority" analysis path to study family business inheritance in our country,it is not difficult to find that the lack of authority legitimacy of successor is closely related to the way of enterprise inheritance and the method of training successor.At present,we urgently needs to realize that the way of intergenerational inheritance of family enterprises in China must transfer itself from simple "power transfer" to the training and reconstruction of "authority subject".Only in this way can the inheritance of family enterprises succeed.In a sense,the practical significance of using "Power-Authority" theory to study the inheritance of family business is that if we want to realize the intergenerational inheritance of family business,beside complete the transfer of ownership and control,we also must complete re-establish the authority subject in the enterprise.The successor will lead family members and business employees to maintain the family and business interests,and achieve sustainable development of the family business.
Keywords/Search Tags:Family Business, Intergenerational Inheritance, Power Structure, Authority Acquisition, Embedded Authority
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