Dimensions of Successful Succession. The case of Turago Star

Adrian MOTOC


The process of succession is influenced not just by market values, but also by familial bonds. During this case's investigation, it was discovered that sibling rivalry appears to be the source of interpersonal conflict, which is the outcome of a lack of communication over time. It would eventually have an impact on the efficiency of company succession procedures. Successor preparation entails more than just gaining information, insight, and talent. If successors are to have the legitimacy required to run a company, they must gain credibility with both internal and external stakeholders. To have a successful succession, one must first grasp the various traits that are required. This study is based on a single case analysis, primary data being collected through interviews with the family members and correlated with secondary data sources. It further analyses the direct and indirect influences of the critical success factors on the succession process out of which recommendations and an implementation plan emerge. Taking into account both internal and external factors affecting the succession process in a family business, it is suggested that, to be successful, they must recognize this challenge and address it by implementing governance structures that establish clear procedures to consider when family and business conflicts and misunderstandings arise. Such institutions must be in place before the situations they govern occur.

Full Text:



Avloniti, A., Iatridou, A., Kaloupsis, I., & Vozikis, G. S. (2014). Sibling rivalry: implications for the family business succession process. International Entrepreneurship and Management Journal, 10(4), 661-678. https://doi.org/10.1007/s11365-013-0271-6

Barach, J. A., Gantisky, J., Carson, J. A., & Doochin, B. A. (1988). Entry of the next generation: strategic challenge for family business. Journal of Small Business Management, 26.2, 49-56.

Bratianu, C. (2011). A new perspective of the intellectual capital dynamics in organizations. In B. Vallejo-Alonso, A. Rodriguez-Castellanos, & G. Arregui-Ayastuy (Eds.). Identifying, measuring, and valuing knowledge-based intangible assets: new perspectives (pp. 1-21). IGI Global. https://doi.org/10.4018/978-1-60960-054-9.ch001

Bratianu, C. (2013). Nonlinear integrators of the organizational intellectual capital. In M. Fathi (Ed.). Integration practice-oriented knowledge technology: trends and perspectives (pp. 3-16). Springer-Verlag. https://doi.org/10.1007/978-3-642-34471-8_1

Bratianu, C., Agapie, A., Orzea, I., & Agoston, S. (2011). Intergenerational learning dynamics in universities. Electronic Journal of Knowledge Management, 9(1), 10-18.

Barach, J. A., Gantisky, J., Carson, J. A., Doochin, B. A. (1988). Entry of the next generation:

Strategic challenge for Family Business. Journal of Small Business Management, 26.2, 49-56

Barach, J. A., Gantisky, J., Carson, J. A., Doochin, B. A. (1988). Entry of the next generation:

Strategic challenge for Family Business. Journal of Small Business Management, 26.2, 49-56

Bryant, B. K. (1982). An index of empathy for children and adolescents. Child Development, 413-425. https://www.jstor.org/stable/1128984

Churchill, N. C., & Hatten, K. J. (1997). Non‐market‐based transfers of wealth and power: a research framework for family business. Family Business Review, 10(1), 53-67. https://doi.org/10.1177%2F104225878701100305

Daspit, J. J., Holt, D. T., Chrisman, J. J., & Long, R. G. (2016). Examining family firm succession from a social exchange perspective: a multiphase, multistakeholder review. Family Business Review, 29(1), 44-64. https://doi.org/10.1177%2F0894486515599688

Deloitte. (2015). Business succession planning. Cultivating enduring value. https://www2.deloitte.com/ca/en/pages/deloitte-private/articles/business-succession-planning-creating-enduring-value.html

Deutsch, M. (1969). Conflicts: productive and destructive. Journal of Social Issues, 25(1), 7-42. https://doi.org/10.1111/j.1540-4560.1969.tb02576.x

Friedman, S. D. (1991). Sibling relationships and intergenerational succession in family firms. Family Business Review, 4(1), 3–20. https://doi.org/10.1111/j.1741-6248.1991.00003.x

Handler, W. C. (1994). Succession in family business: a review of the research. Family Business Review, 7(2), 133–157. https://doi.org/10.1111/j.1741-6248.1994.00133.x

Handler, W. C., & Kram, K. E. (1988). Succession in family firms: the problem of resistance. Family Business Review, 1(4), 361–381. https://doi.org/10.1111/j.1741-6248.1988.00361.x

Kellermanns, F. W., & Eddleston, K. A. (2004). Feuding families: when conflict does a family firm good. Entrepreneurship Theory and Practice, 28(3), 209–228. https://doi.org/10.1111%2Fj.1540-6520.2004.00040.x

Kuratko, D. F. (1993). Family business succession in Korean and US firms. Journal of Small Business Management, 31(2), 132. https://www.proquest.com/openview/479ebab69c9936c89e9c0ef98a76087e/1?pq-origsite=gscholar&cbl=49244

Lansberg, I. (1988). The succession conspiracy. Family Business Review, 1(2), 119-143. https://doi.org/10.1111%2Fj.1741-6248.1988.00119.x

Martin, H. F. (2001). Is family governance an oxymoron? Family Business Review, 14(2), 91- 96. https://doi.org/10.1111%2Fj.1741-6248.2001.00091.x

Pyromalis, V. D., & Vozikis, G. S. (2009). Mapping the successful succession process in family firms: evidence from Greece. International Entrepreneurship and Management Journal, 5(4), 439. https://doi.org/10.1007/s11365-009-0118-3

Royer, S., Simons, R., Boyd, B., & Rafferty, A. (2008). Promoting family: a contingency model of family business succession. Family Business Review, 21(1), 15-30. https://doi.org/10.1111%2Fj.1741-6248.2007.00108.x

Sharma, P., Chrisman, J. J., & Chua, J. H. (2003). Predictors of satisfaction with the succession process in family firms. Journal of Business Venturing, 18(5), 667-687. https://doi.org/10.1016/S0883-9026(03)00015-6

Tagiuri, R., & Davis, J. A. (1992). On the goals of successful family companies. Family Business Review, 5(1), 43-62. https://doi.org/10.1111/j.1741-6248.1992.00043.x

Thorelli, H. B. (1986). Networks: between markets and hierarchies. Strategic Management Journal, 7(1), 37-51. https://doi.org/10.1002/smj.4250070105

Zaleznik, A. (1966). Human dilemmas of leadership. Harvard Business Review, 41(4), 49–55. https://psycnet.apa.org/record/1966-35008-000


  • There are currently no refbacks.

Copyright (c) 2021 Management Dynamics in the Knowledge Economy

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

© Faculty of Management (SNSPA)

Creative Commons License
This work is licensed under CC BY-NC

The opinions expressed in the papers published are the authors’ own and do not necessarily express the views of the editors of this journal. The authors assume all responsibility for the ideas expressed in the materials published.

ISSN 2392-8042 (online)