Family Business Case Study

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The family business as a driver of the social economy. The case of a tourist cooperative in Sinaloa, Mexico. Authors:Alvarado-Borrego A. , Ibarra-Michel J. P. , Soto-Karass J. G. *Corresponding Author: Cell phone: 6691-726783 Abstract: The family business in the field of social economy represents the actions and commitments it has with its members and the community, according to the philosophy and principles of the cooperative as a business organization; it also helps to strengthen its social capital and promote family integration.The objective of the study was to analyze the family business as a boost to the social economy from the organizational figure of the cooperative,…show more content…
b) The power that the family exerts on the company, usually by the work carried out in the company by some of the members of the family. c) The intention to transfer the company to future generations and its incorporation of members of this new generation in the company itself. On the other hand, Geneva (1997), indicates that the character of family business is determined by the following factors: a) The group are only parents and children; that is, it extends to two physicals generations. There may be grandchildren of the founder, but without relevance or, what is the same, with the entire command of the generation of brothers. b) The real stock control has the family. c) The family is the group that directs. d) The family assets committed in the company account for at least 25% of total family assets. Also, Leach (1999) considers this type of company as those that are influenced by a family or by a family bond. In the most obvious case, the family as an entity can effectively control the operations of the company because it owns more than 50 percent of the shares, or because members of the family occupy important positions in management. But in addition to these situations, one should not overlook those less obvious cases, where the firm's operations are affected by the family bond, companies in which the parent-child-brother-sister relationship, in-laws and cousins have a significant impact on the future of the organization.…show more content…
The port is connected by railroad, a 4-lane highway and an international airport. In this scenario is located the family business organized as a cooperative of tourist services. Armando PinzónRojo, member of the cooperative, mentioned some of the story of the cooperative, which started 35 years ago in 1985 with his father, Mr. Ramón Pinzón López who originally had an occupation as a fisherman, he was a “restless and visionary man” in need of work to support his family, formed by his wife Mrs. Adelina Rojo and the offspring of 10 children, two women and eight men; in addition to his appreciation for the Bay and Port of Topolobampo he envisioned the tourism potential of this

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