Exploring Transgenerational Entrepreneurship in Family Firms
Edited by Kevin Au, Justin B. Craig and K. Ramachandran
Chapter 6: The Han Family: The Next Generation Forges a New Path for the Jong-Shyn Shipbuilding Company
Weiwen Li, Yuan Lu and Danming Lin
Hsi-Mei Chung, Kuang S. Yeh and Shyh-Jer Chen INTRODUCTION The Jong-Shyn Shipbuilding Company was founded by Pi-Hsiang Han in 1985 and is owned and run by the Han family. The company’s decision to enter the highly value-added yacht market in 2003 can be seen both as a transfer of the founder’s entrepreneurial spirit to the next generation and as a business upgrade. Utilizing the interview method, this research attempts to investigate the possible entrepreneurship development mechanism in this distinctive Taiwanese family business. From the resourcebased view and the family-embedded perspective, family involvement, that is, a family’s ability to adapt to change and its ability to recognize technology innovation, can have a huge influence on the transfer of entrepreneurship in a family business. Accordingly, family involvement can also influence the survival and growth of a family business. The possible implications on family entrepreneurship raised by our examination of this case will be discussed in this chapter. This case study is a good basis for a discussion of rent generation and rent appropriation issues. Furthermore, the findings of this study are meaningful and insightful in the context of entrepreneurship issues in Asian family businesses. THEORETICAL BACKGROUND Entrepreneurship can be defined as the recognition of new opportunities and the creation of new ventures (Aldrich 2005; Alvarez and Barney 2004; Alvarez and Busenitz 2001). Opportunities to generate or appropriate economic rents exist because of market imperfection (Barney 1986). From the resource-based viewpoint, firms with more accurate expectations 93 M2725 - AU TEXT.indd 93 24/08/2011...
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