Page 65 - Research & Innovation Report 2020

BUSINESS AND ECONOMIC SCIENCES

family. This aspect of social performance is closely tied to Social they don’t, but advise on all business matters. They are the glue
Emotional Wealth (SEW) theory and focuses on one of the key that unites the family and the business.”
outcomes of my research – ubuntu. It is a key factor, because if the
family business invests in the community then the community in The majority of the second generation, men and women, in the
turn invests in them.” African family businesses he researched have formal education,
usually tertiary education, and they are professionals. In many
One of the businesses Dr Matchaba-Hove researched is a petrol cases, the founding generation did not have a formal education
dealership and convenience store in Mqanduli in the Eastern and when the business passes to the second generation, they
Cape. He explains that it was started in the 1960s and passed on continue to play an important advisory role.
to the second generation, who now run the business. Most of the
employees are from that area, and the business has contributed “In the most successful businesses, the next generation has been
to the development of schools and other local infrastructure. The involved since they were young and the person who will take over
community has supported the business, including through tough is identified at an early stage. When the time comes for them to
times, which has contributed to its survival. take over, they are well equipped and qualified to do so, and often
educated in the specific field of the business.”
“Another key outcome is understanding the role of women in the
success of African family businesses,” says Dr Matchaba-Hove. Dr Matchaba-Hove says his research resonated with many of the
“Traditional African culture tends to be paternalistic but mothers conference delegates, which has opened more doors and future
and wives in the family business play a strong advisory and opportunities for research. The second online African Family
supervisory role. In some cases they work in the business; in others Business Conference took place in August 2021.

“One of the major differences between the

Western and African concept of the family
business is the former is often more nuclear

but the latter takes in the extended family –
and a lot of responsibility comes with this.”

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