The role of the family in individual entrepreneurship: A literature review

Abstract

Entrepreneurship is still a vital subject of research due to its multidimensional character that calls upon many disciplines.  And Its definition is not consensual yet amongst researchers.

 Nevertheless, we can distinguish between two schools of thought; one that limits it to the simple creation of the enterprise, and another, which extends it to all the elements related to this creation.

The integration of the family in entrepreneurship is driven by its existence and its remarkable influence on all the elements of entrepreneurship, namely: the entrepreneur himself, his business and the environment to which he belongs.

The purpose of this research is to put forward a conceptual framework to understand family entrepreneurship and to position individual entrepreneurship within it.

Then, to present a recent and selective literature review about the role of the family in individual entrepreneurship using a processual approach that takes into account all the phases of the entrepreneurial process.

The subsequent results are as follows: first, the footprint of the family in entrepreneurship is not confined to the family business, but goes beyond it, by influencing the entrepreneur at the sole proprietorship-level business using a behavioral approach.

Second, individual entrepreneurship can be part of family entrepreneurship given the explicit and implicit, direct and indirect impacts that the family can make on both the sole proprietorship and the entrepreneur.

Thirdly, the impact of the family is visible in all the phases of the entrepreneurial process, covering the phases of the entrepreneurial intention, the phases of creation of the enterprise as well as the phases of its survival and existence, but with varying levels of impact.

Keywords: familial entrepreneurship, family, individual firm, new venture creation.

JEL Classification: L26

Paper type: Theoretical Research