The Effects of Trans-generational Conflict on Trans-generational Entrepreneurship Performance from the Perspective of First-generation Entrepreneurs’ Networks: Evidence from China

Huiling Guo, Yuan Zhang, Yijia Sun and Wenqian Yang

SAGE Open, 2024, vol. 14, issue 2, 21582440241262085

Abstract: After more than four decades of China’s reform and opening up, many family businesses in China are welcoming the peak of trans-generational inheritance. Therefore, more research is needed to help the second-generation successors avoid the potential negative effect of trans-generational conflicts and keep and maintain the sustainable development of their family businesses. To fill these gaps in the literature, this paper explores the impact of trans-generational conflicts on trans-generational entrepreneurial performance and investigates the moderating role of first-generation entrepreneurs’ business and social networks. Based on a survey data captured from the 221 matched responses from founder and second-generation successors dyads in China, we found that both cognitive and process conflicts have negative effects on trans-generational entrepreneurial performance, and process conflict has a greater negative impact than cognitive conflict. Furthermore, we found that the first-generation entrepreneurs’ business and social networks independently alleviate the negative impact of cognitive conflict on trans-generational entrepreneurial performance. By examining the three-way inaction effect, we also found that the negative effect of process conflict on trans-generational entrepreneurial performance is alleviated. Theoretical and managerial implications are also provided.

Keywords: cognitive conflict; first-generation entrepreneurs’ business network; first-generation entrepreneurs’ social network; process conflict; trans-generational entrepreneurial performance (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:sae:sagope:v:14:y:2024:i:2:p:21582440241262085

DOI: 10.1177/21582440241262085

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