Chapter 5 Vocab Flashcards
A group of people bound by a shared history and a commitment to share a future together, while supporting the development and well being of individual members
Family
An organization in which either the individuals who established or acquired the firm or their descendants significantly influence the strategic decisions and life course of the firm
Family Business
A venture operated b a founding entrepreneur
Owner-managed Business
A business in which children of the founder become owners and managers
Sibling Partnership
A business in third and subsequent generations, when children of the siblings take ownership and management positions
Cousin Consortium
The practice of employing relatives
Nepotism
Patterns of behaviors and beliefs that characterize a particular firm
Organizational culture
Nonfinancial factors in a family firm that affect the commitment of family members to the business
Socioemotional wealth
Couples teams who own and manage businesses
Co-preneurs
A gathering of family members, usually at a remote location, to discuss family business matters
Family Retreat
An organized group of family members who gather periodically to discuss family-related business issues
Family Council
A statement of principles intended to guide a family firm through times of crisis and change
Family Business Constitution
The process by which a more experienced person guides and supports the professional progress of a new or less experienced employee
Mentoring
Passing ownership of a family business to the next generation
Transfer of Ownership
