The assessment of the family vision generation process in small and medium-sized family businesses

Abstract

The objective of this study was to assess the family vision generation process in small and medium-sized family businesses. Data from 489 questionnaires administered to 79 family businesses were collected and analysed. An Oblimin oblique rotation was performed on the principal components of the exploratory factor analysis. Three factors with eigenvalues greater than one were extracted, explaining 61.93% of the variance, describing the theoretical dimensions of the generation of the family vision, the commitment of the younger generation family members to family business continuity and the commitment of the senior generation family members to family business continuity. The results of this study indicate that a significant proportion of the variation in the generation of the family vision is explained by the commitment of the senior and younger generation family members to family business continuity. No practically significant differences in the mean values could be found between the three extracted factors and the demographic variables in this study. Recommendations are offered to utilise the questionnaire as a measuring instrument. Practical recommendations are suggested to ensure an effective family vision generation process in small and medium-sized family businesses.