Struggling to Survive: Non-Family Member Employees, The Family, and Stress in Family Firm Startups

Abstract

This chapter explores how stress may manifest among non-family member employees, family member employees, and family firm founders in family firms during the startup phases of the organization. Understanding how stress arises in family firm startups has received limited attention to date. Notably absent in the research is the understanding of how stress arises in non-family member employees, which is important to understand as non-family member employees often outnumber family member employees. As stress increases for the non-family member employee due to issues such as role ambiguity and conflict, negative outcomes resultant from this stress may increase the chances of the employee exhibiting withdrawal behaviors. It is suggested these outcomes increase the stress of the family firm entrepreneur and family members by increasing interrole and interpersonal conflicts and negatively impacting decision-making. These effects on the family members may adversely impact the family firm’s chances of performing well, thus decreasing its chances for survival. Recommendations for future research are also made.

Citation

Butler, F.C. and Martin, J.A. (2020), "Struggling to Survive: Non-Family Member Employees, The Family, and Stress in Family Firm Startups", Perrewé, P.L., Harms, P.D. and Chang, C.-H. (Ed.) Entrepreneurial and Small Business Stressors, Experienced Stress, and Well-Being (Research in Occupational Stress and Well Being, Vol. 18), Emerald Publishing Limited, Leeds, pp. 123-146. https://doi.org/10.1108/S1479-355520200000018006