Family businesses have become a topic of growing interest among scholars and policy makers
at both international and local levels, particularly given the sector’s contribution to the world
economies. The increasingly volatile employment climate that prevails in many African
settings today has increased the focus on small and medium enterprises as engines of
economic growth and employment creation, and Botswana is no exception. The majority of
family businesses are small to medium enterprises.
The main objective of this study was to investigate the effects of governance structures and
systems on the sustainability and continuity of family-owned and controlled businesses in
Botswana. A study of this nature was important in view that some key sectors of the Botswana
economy are dominated by small and medium family businesses. Of concern is the lack of
continuity from one generation to the other among family businesses. Therefore, an
understanding of the family dynamics and family business governance systems is important
for managing the success and survival of the family business. Studies on small and medium
enterprises have been carried out in Botswana mostly focusing on their problems, but not on
their governance and sustainability. This was done using a cross-sectional research survey
design. The target population for the study comprised small and medium family-owned
businesses drawn from the manufacturing and professional services sectors and registered with
the Business Botswana and Local Enterprises Authority in 2017. A sample of 144 familyowned
businesses based in Gaborone and Francistown was polled.
Quantitative data for the research was collected using a questionnaire. The quantitative
research methodology adopted applied correlation and regression analysis, utilised Pearson
correlation tests and Levene’s independent sample tests were performed to measure the
relationships between five independent variables and the sustainability and continuity of
family businesses in Botswana. This research empirically tested five hypotheses relating to
governance factors that affect the sustainability and continuity of family businesses in
Botswana. The research findings support the notion that the presence of governance structures,
effective communication, decision-making, succession planning, and a vision, mission and
strategy have a positive effect on the sustainability and continuity of family businesses. This
research also established that small and medium family businesses face the same challenges as any other formation by ownership of non-family small and medium enterprises. Evidence is
also provided that the challenges faced by family businesses in Botswana do not differ
significantly with challenges faced by small and medium family businesses, with most
respondents citing a lack of funding as the major challenge. For small and medium enterprises
to continue playing their critical role in the economic development of Botswana, they need to
formalise and adopt systematic approaches to strategy formulation and implementation,
succession planning, governance structures and compliance. It is recommended that future
studies focus on developing systematic generic models and assist small and medium familyowned
businesses to implement and improve on their sustainability and continuity of
businesses in Botswana. / Business Management / D. Admin.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:unisa/oai:uir.unisa.ac.za:10500/24338 |
| Date | 04 1900 |
| Creators | Tadu, Ruramayi |
| Contributors | Chiloane-Tsoka, E. G., Visser, D. |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Thesis |
| Format | 1 online resource (xvi, 216 leaves) : illustrations (some color) |
Page generated in 0.0022 seconds