Abstract:
The purpose of this case study is to investigate the issues that arise at the time of transition from one
generation to another in closely held family businesses. This is particularly, if the founder owner-manager has
to pass the heir ship to its children and specifically if it’s a female. Through this case authors have made an
attempt to discuss the significance of corporate governance structure to plan transition and mitigate conflicts
at the time of generational transition of business in a closely held family business.
The case is based on primary research, secondary information, testing the case several times and filling the
case gaps during the process. To authenticate information, multiple sources of information have been used.
Results indicate conflicts started from the absence of corporate governance (Ownership) structure in family
business, to power positions followed by transition. Breakdown of communication and of trust within the
family unit, inadequately prepared heirs, forced entries of sibling in the business with no competence besides
the patriarchs’ distribution of business were of major concern; hence, there is a need to professionalise the
family business.
