Succession Planning and Survival of Selected Family Businesses in Benue State, Nigeria

Abstract

The study investigated the effect of succession planning on the survival of selected family businesses in Benue State, Nigeria. The study examined the extent to which successor selection has effect on survival of family businesses and the extent to which successor training affects the survival of family businesses. The study adopted a survey research design and primary data were collected using self-administered questionnaire. The population of the study consists of 82 selected family-owned businesses in Benue State. The study used a census sampling approach and the entire population was considered as the sample size. Data collected from the participants were analysed using descriptive statistics (mean and standard deviation) and inferential statistics (correlation and multiple regression) with the aid of the Statistical Package for Social Sciences (SPSS 23). The study found that successor selection has a positive significant effect on the survival of family businesses in Benue State (β= 0.544; p<0.05). The study also revealed that successor training has a positive significant effect on the survival of family businesses in Benue State (β= 0.208; p<0.05). The study recommended amongst others that family business owners in Benue State should have a business policy that will guide in the successor selection process to enable succession planning to be successful in their businesses.