Family Business The Intergenerational Transmission Of Research

Whether in the developed Western countries or China, family firm is the main form of enterprises that plays an important role in the economic and social development. Especially China experienced a shift from a planned economy to a market economy, which leads to opportunities and space for the rapid development of family firms. In a sense, attention to Chinese family firms is concerned about Chinese future. A rational analysis of the existing problems in survival and development of family firms, guiding the family firms to break their own limitations, and building firms more than one hundred years is the important responsibility for economists and management scholars.Family firms are faced with several pressing issues in the development, such as property right, governance structure, intergenerational transition. Intergenerational transition, which is the major turning point in survival and development of family firms, is regarded as one of the most important strategic questions. Intergenerational transition affects all aspects of the firms, including employees, shareholders, suppliers, customers, public, which also profoundly affects the business performance. In recent years, China has entered the updating peak of family firms. The first generations of successful entrepreneurs are facing serious challenges of intergenerational transition. Whether intergenerational transition can be successful or not is a major strategic question for the survival of family firms.Firstly, the paper simply introduces the background, significance of intergenerational transition of family firms in China and the method, the structure frame of this paper. Secondly, we reviewed and commented briefly the relevant theories of the intergenerational transition of family firms. Then, this paper analyze the features of intergenerational transition of Chinese family firms which is internal, effective and indefinite. Also it is pointed that the main form of intergenerational transition is transferring the leadership from fathers to sons. Based on this, we considered profoundly that the relation between intergenerational transition and organization evolution, post-transition performance of businesses, succession planning, culture understanding. There are two paths of the organization evolution of family firms which are the path of the corporate institution and the path of networking. Next, the paper introduces some indexes of post-transition performance of business. The next part investigated succession planning which is a very important factor. The last but not the least, transferring the leadership from fathers to sons has a deep culture-foundation in our country.