ABSTRACT
This study investigated private indigenous enterprises in South Eastern Nigeria within
the context of Igbo inheritance culture. Of particular interest is the continuity and
performance of these enterprises. Many of these enterprises which are important
contributors to wealth and employment creation, disappear from the business scene or
experience significant decline upon the death or incapacitation of their founders. One
issue that can help to account for the scarcity of long-established firms is the crisis of
management succession. This study therefore sought to determine the effect of Igbo
inheritance culture on management succession process; determine the effect of Igbo
inheritance culture on enterprise continuity; determine the extent of relationship
existing between factors associated with primogeniture (first born); and to determine
the effect of gender-restrictive inheritance culture and multiple heirs’ inheritance. The
research was conducted using survey design. The population of the study was 750
owner-founders/managers, middle managers and senior staff from the 44 private
indigenous enterprises selected for the study. These 44 enterprises were selected from
the 436 enterprises that registered with the States’ Ministries of Trade, Commerce and
Industry in South Eastern Nigeria. A sample size of 511 respondents was drawn from
the population using Tara Yamane’s sample size formula. A stratified sampling
technique was also used to determine the proportionate allocation of questionnaire to
owner-manager, middle managers and senior staff. The instruments used for data
collection were the structured questionnaire, interview schedule and empirical research
findings from available related literature. The reliability of the instrument was done
through test-retest method. The result gave a reliability index of 0.96, indicating a high
degree of consistency.
The data collected from the field were presented in percentages
and analyzed with descriptive statistics to answer the research questions while
corresponding hypotheses were tested using Z – test statistic at 0.05 alpha level. The
study found that Igbo inheritance culture had a negative effect on management
succession process; Igbo inheritance culture had a negative effect on enterprise
continuity (the management succession process in private indigenous enterprises in
South Eastern Nigeria, jeopardises rather guarantees the sustainability or longevity of
these enterprises); factors associated with primogeniture (first born) rule of inheritance
affect management succession process; gender-restrictive inheritance culture had a
negative effect on management succession; and multiple heirs inheritance culture had a
negative effect on management succession. The conclusion of the study is that
management succession is influenced by the Igbo inheritance culture. The principles
and practices under-girding customary inheritance culture in Igbo society constitute
inappropriate mechanism for intergenerational transfer of ownership. Based on the
findings of the study, it was recommended that in order to achieve effective succession
in these enterprises, owner-founders should pay ample attention to managing culture;
the founder should lay the foundation for a successful entrepreneurial succession and
enterprise continuity before his old age or ailment; women should be provided with
equal education and access to managerial positions could raise economic growth by as
much as one percent. The study’s major contribution to knowledge include: model
modification or the development of an improved systems’ cybernetic model of the
transform of the culture process captioned: MANAGEMENT SUCCESSION
SYSTEMS’ CYBERNETIC MODEL.
