Succession Planning and Survival of Family Businesses in Asaba, Delta State, Nigeria

Abstract

This seminar paper examines the relationship between succession planning and the survival of family businesses in Asaba, Delta State, Nigeria. The specific objectives were to: (1) investigate the relationship between leadership succession and the survival of family businesses, and (2) assess the association between mentoring and business survival. The study population comprised management and staff of selected family businesses—Dominion Gas, Blessed Plastics, Vinco Supermarket, Roban Stores, Gabs, and Anny Stores—who were on the payroll as of January 2024. Using the Taro Yamane formula, a sample size of 118 respondents was determined. Stratified sampling was employed to ensure representation across the various businesses. The study relied on primary data, which were analyzed using correlation and regression analysis. The findings revealed a significant and positive relationship between leadership succession (β = 0.259, p < 0.00) and mentoring (β = 0.136, p < 0.01) with the survival of family businesses. These variables emerged as key predictors of business continuity. The study concludes that mentoring programs enhance the development of both mentors and mentees, fostering expertise and improving performance. Furthermore, effective mentoring supports succession planning by preparing future leaders. It is recommended that management create equitable opportunities to motivate employees and encourage leadership aspirations