To Sell or Not to Sell? The Financial and Socio-emotional Dilemma of the Ownership Decision in the Family Business

The case illustrates the process and challenges of ownership decision-making in a multigenerational family business where family and business logics collide. It is designed to help recognize the ro ...

Author(s):

Fabian Bernhard

EDHEC Business School

Rania Labaki

EDHEC Business School

The case illustrates the process and challenges of ownership decision-making in a multigenerational family business where family and business logics collide. It is designed to help recognize the role of identity, emotions, and conflicting interests in shaping family business decisions. By exploring the family business from these perspectives, the students and practitioners are first asked to analyze the roles and expectations of a heterogeneous group of family shareholders. Then, they are invited to make recommendations that allow for sustaining both the family health and the business wealth in terms of financial and socio-emotional value to the family business. The case develops along the following questions:1. The Dilemma: Why is it difficult for the shareholders to agree on whether to sell the encyclopedia business or not? 2. The Family Business Specificities: In what way does the fact that Blockmouse Publishing is a family business impact the decision of the potential sale? 3. From Research Findings to Action: What would be your recommendations regarding the sales decision of the encyclopedia branch and why?

Type: Case Study
Date: le 01/10/2016
Research Cluster : Family Business Centre

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