By combining different disciplines such as entrepreneurship, psychology, and business administration, this paper provides insights into the decision-making process involved in the succession of agricultural family businesses. It offers an overview of how choices and decisions are influenced among all actors involved in the process, including the incumbent, successor, non-succeeding family members, and both informal and formal advisors. This overview creates practical insights to support a more successful business succession process. Decision-making in business succession is influenced by several factors such as business systems and culture, as well as mutual relationships, personality traits, behavioral patterns, and habits of those involved. Communication and trust, between both succeeding and incumbent family members, are important aspects that can lead to a successful process. When family relationships are strong, there is a better chance that the social-emotional aspects of business succession do not become a bottleneck. Financial, tax and legal issues can often be resolved if the social-emotional foundation is solid.
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PurposeThis study explores how and when intuitive forms of planning can be used in a family firm's succession process.Design/methodology/approachThe study uses an extended focus group meeting, consisting of individual, group and subgroup discussions with seven highly experienced external family business advisors in the Netherlands to gain a holistic understanding of the succession process and its underlying logic. The study also employs pre- and post-group questionnaires.FindingsThis study reveals that advisors perceive intuitive forms of planning as an integral part of the succession process, with the latter containing both intuitive and formal logic and activities. Both logics are used situationally and flexibly to deal with the uniqueness and unpredictability of the succession process and to build strong relations and manage relational dynamics in business families to address tasks, dilemmas and contingencies.Originality/valueThe succession process is an important part of business families' achievement of transgenerational intent. Creating commitment among potential successors begins when they are children, and understanding the role of the more intuitive forms of planning during the succession process will provide us with a more holistic perspective on its dynamics.
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