Research On The Motivation And Economic Consequences Of "De-familiarization" Of Family Enterprises

Since the reform and opening up,China’s family enterprises have been making outstanding contributions to creating wealth,providing job opportunities and stimulating economic growth.However,with the continuous change of the external market environment,the disadvantages of the operation and management of China’s traditional family enterprises have emerged,so urgent improvement is needed in the field of institutionalization and specialization.The inheritance of family businesses is no longer limited to children inheriting their father’s business.“De-familiarizing” by gradually transferring the ownership of the business has become the choice of many family businesses.This thesis studies the motivation and economic consequences of“de-familiarization” by taking SUPOR group as an example.Firstly,this thesis expounds the research status at home and abroad,combs the literature on the content,mode,motivation and economic consequences of "de-familiarization" of family enterprises in detail,clarifies the existing research context,defines the existing shortcomings and the improvement direction of this thesis,and introduces the principal-agent theory,incentive theory,human capital theory,corporate governance theory and so on.Secondly,it summarizes the current development of family enterprises in China,and constructs a theoretical analysis framework of the relationship between "motivation-economic consequences" of "de-familiarization".Then,it selects SUPOR company in the small household appliance industry as the case study object.According to the changes of ownership structure,shareholding shareholders and the positions of Su family members since SUPOR’s listing,the process of "de-familiarization" of SUPOR is divided into two stages: "partial de-familiarization" and "complete de-familiarization".It compares the equity incentive plan implemented from 2005 to 2017 to analyze the motivation of "de-familiarization".Based on this,using SUPOR and the data of the same industry from 2005 to 2020,this thesis compares and analyzes the short-term market response and long-term financial and non-financial performances under "de-familiarization" vertically and horizontally,and evaluates the economic consequences of SUPOR’s "de-familiarization." This research discovers that:(1)The motivation of SUPOR’s "de-familialization" mainly includes attracting talents,avoiding unreasonable interference of family members on enterprise operation,mobilizing employees’ enthusiasm and improving enterprise market competitiveness.In terms of path,it adopts the way of transferring control power;(2)In the short term,"de-familiarization" brings positive market feedback,and the equity incentive plan implemented in the "partial de-familiarization" stage is more positive than that in the "complete de-familiarization" stage;(3)In the long run,it plays a positive role in the profitability and EVA of enterprises,and enhances innovation capability.Moreover,in the "partial de-familiarization" stage,the effect is better and more sustainable.Finally,based on the experience of Supor’s "de familiarization" process,this thesis puts forward countermeasures and suggestions from four aspects: improving the professional manager market,gradually realizing the "de familiarization" process,optimizing resource allocation,and establishing and perfecting incentive mechanism.This thesis constructs the theoretical analysis framework of "motivation-economic consequences" of "de-familiarization" of family enterprises,which expands and enriches the research on the governance model of family enterprises.Moreover,based on the case analysis of SUPOR,it provides a decision-making reference for the transformation from traditional family enterprises to modern enterprises.This thesis contains 32 figures,10 tables and 81 references.