This study identified factors influencing family business survival using National Family Business Panel and Spatial Hazard Events and Losses data. Sustainable Family Business Theory guided the use of a parametric duration model of long-term survival. Community characteristics, family achievements, family processes during change, business and owner characteristics, and business processes during stability affected long-term survival. Economic vulnerability of rural counties, family income from business, hiring temporary help, business size, viewing business as a way of life, and owner experience were associated with increased duration of business survival. Being home-based, a female owner, and customer-focused were associated with decreased duration of survival. Some family processes and achievements increased the duration of business survival; none decreased it.
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Acknowledgments This material is based upon work partially supported by the National Science Foundation under Grant No. CMS-0625326. Any opinions, findings, and conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of the National Science Foundation. The results reported in this paper also use data collected by Cooperative Regional Research Project NC-1030, partially supported by the Cooperative States Research, Education, and Extension Service (CSREES); U.S.D.A, Baruch College, the experiment stations at the University of Hawaii at Manoa, University of Illinois, Purdue University (Indiana), Iowa State University, Oklahoma State University, University of Minnesota, Montana State University, Cornell University (New York), North Dakota State University, The Ohio State University, Utah State University, and the University of Wisconsin-Madison. Any opinions, results, and conclusions are solely those of the authors.
- Business owning family
- Disaster resiliency
- Duration analysis
- Family business
- Family business survival
- Family business sustainability
- Family firm