Succession in South Asian Family Businesses in the UK

DARSIIAN BACHKANIx\AIA\ ANI) Professor Mike Wriglht aie xwitl the Centre for Managemenit Buivotut Researclh, Universitv of Nottinghamii, England, and Professor Monder- Ram is with the Leicester BLusinIess School, De Montfort Universitx, En-glaind. The link between the famrtilxv mld Asiani enitrepreneurship has beeii it rectirrin-g feature of debates oni ethniC mino-ority butsinesses. Studies haxe pinpoilltedl the pivotal role of the familv in smiiall eniterprises and it has been arguied that the family operates collectivelv tor the ‘common good’ of the businiess. It has also been demonstrated, however, that the family may serve as aii ar ena of exploitation. Notwithstandii-ig these opposing interpretations, the centialitv of the family to many Asiani businesses is beyond doubt. Despite this evidence, the key issue for this papei successioni in Asian family businesses has rarely been subject to academic scrutitxn. From the research it is evidenit that succession remains a problematic and neglected issue in ethnic family businesses like many family businesses in genereal. The issues raised have potentially important implications for the future of Asian independent family businesses as it is shown that from a higher than average business formation rate among the first generation, business formation among the second generation ethnic minorities may indicate at best a reversion to the mean.