CHALLENGES AND OPPORTUNITTIES IN FAMILY BUSINESS LEADRSHIP REGENERATION

Abstract

The process of leadership regeneration in family businesses is very important to ensure the continuity and stability of the business from generation to generation. However, this process often faces various obstacles, such as disputes between family members, a lack of readiness on the part of the next generation, and differences in values and leadership styles between the founding generation and the newer generation. On the other hand, the presence of younger generations who are more adaptable to technological changes and the global market provides a great opportunity for innovation and transformation of family businesses to become more professional and competitive. This study aims to identify the main challenges faced during the leadership regeneration process in family businesses and explore strategic opportunities that can be utilized to improve business sustainability. The method used is a literature study by reviewing various previous studies related to leadership succession and family business dynamics. The results of the study show that the success of leadership regeneration is greatly influenced by the readiness of the next generation, intergenerational communication, and the implementation of professional governance. In conclusion, effective regeneration requires a balance between preserving family values and implementing modern innovations to maintain the competitiveness of family businesses in the era of globalization