Family Business Growing Social Network Capital

Family business is an enterprise organization of widespread existence, relying on the Cohesiveness of consanguinity to the operation and flexible management mechanisms, seizing the market opportunities timely during the difficult start-up process to grow rapidly in a short period of time. At present, family business can be found in all corners of the world, it can be said that the family business in terms of quantity or scale occupies extremely important share in the world economy.Because of the special nature of family business, a strong sense of family decide the characteristics of the family business is one of "Internal People Awareness", during a "relationship" of society, because the law is inadequate and the rules of the market has not fully set up, in this context, the role of the social network during the family business development is even more obviously, the social network which hiding in the social network is of great significance to the development of enterprises. In that case, how the social network capital affects the growth and development of family businesses? In this paper, an important aim is to resolve this problem, then make some feasible conclusions and recommendations.In this paper, the growth process of family business can be divided into four stages: the original family business,the purely family business, the pan family business and the modern family business. On the basis of defining the concept and features of social network capital, analyzing the content and scope of consanguinity, relatives, friendship, schoolmate-relations and folk-relations by using cutline, and to explore the influence of social network capital to the four stages development, as well as how to effectively expand the social network capital of the family business. Thesis also compared conversion and inter-generational transmission of social network capital, pointing out family business owners pass the social network capital to future generations rather than the external people, the main reason is that for family members of a high degree of trust but external people of the low degree of trust, and eventually cause social network capital of the family members of higher conversion rates and members of society lower conversion rates. In the final of the article, studying the inter-generational transmission of family business at the social network capital transmission level, the inter-generational transmission is a long process. Use words and deeds, position arrangements and the corporate culture to promote this process are completed quickly and healthy.Through analysis, this study indicates the expansion and perfection of the social network capital of family business is a positive correlation with the four stages of growth and Five- relations. Therefore, the family business owner should strive for social network capital actively in order to promoting enterprise development. The study also pointed out that the inter-generational transmission of social network capital should be divided into three stages, each stage of transmission has different content and emphasis, and using and predominating the transmission method correctly is in favor of the successor succession successful.