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The transfer of family businesses in Northern Germany and Austria

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  • Glauben, Thomas
  • Tietje, Hendrik
  • Vogel, Stefan

Abstract

The transfer of family businesses from one generation to the next can be considered as an event with far-reaching effects for the business. Investments and decisions about restructuring the business are closely tied to succession considerations. This paper analyzes successions plans in the primary sector using a survey conducted in 2003 of 348 farmers in Schleswig-Holstein (Northern Germany) and 278 farmers in Austria. Three samples were obtained: full time farmers in Schleswig-Holstein, full time farmers in Austria and part time farmers in Austria. The structure of the farm sector in both countries differs in several ways: Farmers in Schleswig-Holstein operate on larger scales, are more market oriented and use more intensive production technologies than their Austrian counterparts. In addition, Austrian farmers have distinct traditional attitudes in farming and are likely located in disadvantaged areas on average. The analysis focuses on differences in succession plans and farm family characteristics in the three samples. This encompasses the fact that farms in Schleswig-Holstein have proportionally higher rates of identified successors and farm adjustment plans than in Austria. Results also show that there are not only significant differences in farm succession patterns, but also in value systems.

Suggested Citation

  • Glauben, Thomas & Tietje, Hendrik & Vogel, Stefan, 2004. "The transfer of family businesses in Northern Germany and Austria," FE Working Papers 0405, Christian-Albrechts-University of Kiel, Department of Food Economics and Consumption Studies.
    • Handle: RePEc:zbw:caufew:0405
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    References listed on IDEAS

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    1. Clive Potter & Matt Lobley, 1996. "The Farm Family Life Cycle, Succession Paths And Environmental Change In Britain'S Countryside," Journal of Agricultural Economics, Wiley Blackwell, vol. 47(1‐4), pages 172-190, January.
    2. Ayal Kimhi, 2000. "Is Part-Time Farming Really a Step in the Way Out of Agricultural?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(1), pages 38-48.
    3. Miller, Danny & Steier, Lloyd & Le Breton-Miller, Isabelle, 2003. "Lost in time: intergenerational succession, change, and failure in family business," Journal of Business Venturing, Elsevier, vol. 18(4), pages 513-531, July.
    4. Morris, Michael H. & Williams, Roy O. & Allen, Jeffrey A. & Avila, Ramon A., 1997. "Correlates of success in family business transitions," Journal of Business Venturing, Elsevier, vol. 12(5), pages 385-401, September.
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    Cited by:

    1. Conway, Shane Francis & McDonagh, John & Farrell, Maura & Kinsella, Anne, 2019. "Human dynamics and the intergenerational farm transfer process in later life: A roadmap for future generational renewal in agriculture policy," International Journal of Agricultural Management, Institute of Agricultural Management, vol. 8(1), August.
    2. Vogel, Stefan & Maurer, Oswin & Wytrzens, Hans Karl & Larcher, Manuela, 2007. "Hofnachfolge und Einstellung zu Aufgaben multifunktionaler Landwirtschaft bei Südtiroler Bergbauern – Analyse von Befragungsergebnissen," Discussion Papers DP-25-2007, University of Natural Resources and Life Sciences, Vienna, Department of Economics and Social Sciences, Institute for Sustainable Economic Development.

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