Management & Marketing no. 3/2014

Leadership succession and the origin of successor in Hungarian SMEs

Eszter Bogdány,
University of Pannonia, Hungary

Ágnes Balogh,
University of Pannonia, Hungary

Tibor Csizmadia,
University of Pannonia, Hungary

Abstract. Researchers have been studying the management based approach in SMEs since the 1980’s which has become an emergent theme in post‐socialist countries after the changes of the 1990’s. The force of generation change puts the phenomenon of business succession forward both nationally and internationally. Consequently, it is essential to ask questions about the nature of the SMEs succession process in the present and in the future. The aim of the present research is to explore the characteristics of succession types and the phases of the succession process of the Hungarian SMEs according to the nature of the successor. The examination of the succession process started with the identification of three main leadership roles found in the management literature. In our research we applied both quantitative and qualitative methods. The present and preferred succession process has been identified by the principal components of leadership roles. The results indicate that SMEs which show good example in the succession process that is independent of the founder/owner are few in number.

Keyword: SMEs, succession, leadership roles, successor type, post‐socialist.

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