The Influence of Succession Ability Cultivation, Family Governance Structure and Enterprise Succession Success through Innovation Ability in Family Enterprises

Family business succession represents a critical challenge threatening enterprise continuity and economic stability, with particular complexi-‎ty in innovation-intensive environments. This study examines how succession ability cultivation and family governance structure influence ‎enterprise succession success through innovation ability's mediating role in family enterprises in Shenzhen, China. Drawing on resource-‎based theory, agency theory, and stewardship theory, we develop an integrated framework proposing that succession antecedents influence ‎outcomes both directly and indirectly through innovation capabilities. Using quantitative survey data from family business stakeholders ‎representing diverse organizational roles, generations, and industries, we employ partial least squares structural equation modeling to test ‎hypothesized relationships. Results demonstrate that both succession ability cultivation and family governance structure positively influence ‎enterprise succession success, with innovation ability partially mediating these relationships, accounting for approximately half of total ef-‎fects. The findings reveal that successful succession in innovation-intensive contexts requires not only systematic successor preparation and ‎effective governance mechanisms but critically depends on developing innovation capabilities that enable adaptation and renewal during ‎leadership transitions. This study contributes to succession literature by identifying innovation as a central mediating mechanism linking ‎traditional succession factors to outcomes, demonstrating the need for context-specific succession theories acknowledging environmental ‎contingencies. Practical implications suggest family enterprises should adopt integrated approaches combining innovation-oriented succes-‎sor development, governance structures balancing stability with flexibility, and strategic prioritization of innovation capabilities. The re-‎search provides actionable guidance for family business owners, professional advisors, policymakers, and educators supporting sustainable ‎generational transitions in dynamic business environments‎.

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Publication Details

Journal
International Journal of Accounting and Economics Studies
Published
2025-12-31
DOI
https://doi.org/10.14419/d0ymx622
Primary Topic
Family Business Performance and Succession
Type
article
Field-Weighted Citation Impact
0.00
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article

The Influence of Succession Ability Cultivation, Family Governance Structure and Enterprise Succession Success through Innovation Ability in Family Enterprises

Pirayut Pattanayanon, Supin Chaisiripaibool, Xiaoxia Chen, Chunkui Chen et al.
International Journal of Accounting and Economics Studies
Family Business Performance and Succession
article

The Influence of Succession Ability Cultivation, Family Governance Structure and Enterprise Succession Success through Innovation Ability in Family Enterprises

Pirayut Pattanayanon, Supin Chaisiripaibool, Xiaoxia Chen, Chunkui Chen, Sid Terason, Hongchun Zheng, Chaithanaskorn Phawitpiriyakliti
article en

Abstract

Family business succession represents a critical challenge threatening enterprise continuity and economic stability, with particular complexi-‎ty in innovation-intensive environments. This study examines how succession ability cultivation and family governance structure influence ‎enterprise succession success through innovation ability's mediating role in family enterprises in Shenzhen, China. Drawing on resource-‎based theory, agency theory, and stewardship theory, we develop an integrated framework proposing that succession antecedents influence ‎outcomes both directly and indirectly through innovation capabilities. Using quantitative survey data from family business stakeholders ‎representing diverse organizational roles, generations, and industries, we employ partial least squares structural equation modeling to test ‎hypothesized relationships. Results demonstrate that both succession ability cultivation and family governance structure positively influence ‎enterprise succession success, with innovation ability partially mediating these relationships, accounting for approximately half of total ef-‎fects. The findings reveal that successful succession in innovation-intensive contexts requires not only systematic successor preparation and ‎effective governance mechanisms but critically depends on developing innovation capabilities that enable adaptation and renewal during ‎leadership transitions. This study contributes to succession literature by identifying innovation as a central mediating mechanism linking ‎traditional succession factors to outcomes, demonstrating the need for context-specific succession theories acknowledging environmental ‎contingencies. Practical implications suggest family enterprises should adopt integrated approaches combining innovation-oriented succes-‎sor development, governance structures balancing stability with flexibility, and strategic prioritization of innovation capabilities. The re-‎search provides actionable guidance for family business owners, professional advisors, policymakers, and educators supporting sustainable ‎generational transitions in dynamic business environments‎.

International Journal of Accounting and Economics StudiesVol. 12(8)
Hong Kong Polytechnic University (HK), Kasetsart University (TH), Sripatum University (TH), Mahidol University (TH), Suan Sunandha Rajabhat University (TH)
Industry, innovation and infrastructure
Openalex Percentile: Top 23%
Family Business Performance and Succession
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