Nexus of Tradition and Transition: Hybrid Governance and Succession in Igbo Family-Owned Businesses

Nexus of Tradition and Transition: Hybrid Governance and Succession in Igbo Family-Owned Businesses

Authored by

Obodoagu, Kenneth Ogomegbunam PhD
Department of Business Management, Godfrey Okoye University, Enugu

Abstract
In Southeast Nigeria, where family-owned businesses (FOBs) serve as pillars of local economies, succession often unfolds not as a managerial handover but as a culturally charged negotiation between legacy and leadership. This study interrogates why many Igbo FOBs struggle to transition beyond the first generation, identifying how kinship norms, patriarchal authority, and institutional voids inhibit formal governance. Drawing on Institutional Theory and Stewardship Theory, and using a qualitative-dominant, mixed-method case study of 25 firms across commerce, manufacturing, and agriculture, the research reveals three central challenges: symbolic resistance from “retired” founders, primogeniture-driven leadership selection, and fragmented ownership structures. In response, the study introduces the Family Governance Charter—a hybrid model that integrates Igbo kinship protocols with modern governance tools, including digital oversight, dual council-board structures, and staged succession. Findings show that firms adopting such hybrid mechanisms demonstrate higher intergenerational continuity. By conceptualising succession as institutional labour rather than a discrete managerial event, the paper advances African business theory and proposes a framework of institutional bilingualism, where cultural legitimacy and formal accountability co-exist. Policy recommendations include two-tiered regulatory frameworks and family business academies tailored to African governance realities.

Keywords: Family-Owned Business; Hybrid Governance; Igbo

CITATION: Obodoagu, K. O. (2025). Nexus of Tradition and Transition: Hybrid Governance and Succession in Igbo Family-Owned Businesses. Contemporary Journal of Management 7(1), 29-42. https://doi.org/10.5281/zenodo.16827119


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