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The Role of Pluriactivity for Continuity and Survival in Family Farm Firms

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Niemelä T., Häkkinen R.
Journal of Entrepreneurship, Management and Innovation
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2014
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vol. 10
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issue 4
7-44
EN
Our study focuses on family farm firms as an important and yet under-researched type of family firms. We explore the entrepreneurial growth behavior in the context of family farm firms by focusing on the role of pluriactivity. By integrating the literature of family business strategies, EO, and growth intentions, this study of 1618 Finnish family farms seeks to understand the idea of pluriactivity as a strategic orientation of family farm firms leading towards the growth and renewal of their prevailing and future domains. Our study revealed that pluriactivity is associated with growth-orientation and perceived strengths of the family farm firms. We identified four types of growth groups (Established, Growth-Driven, Experimenters, Stand-Stills) and found differences in their pluriactive orientation. We suggest that pluriactivity as a strategic orientation affects the growth-intention of the family entrepreneurs and the business renewal processes of the family farm firms. Entrepreneurs need to have capabilities (knowledge, skills, experience) and willingness to change (motivation, attitude, volition) when using pluriactivity as a strategic orientation as they affect growth behavior (EO). Lastly, we discuss with our results and make some suggestions for future research avenues in family business strategy research.
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Imbalance of Power: Social Service Entrepreneurs’ Experiences of Entrepreneur-Municipality Relationship

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Niemelä T., Kauko-Valli S.
Journal of Entrepreneurship, Management and Innovation
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2014
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vol. 10
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issue 2
119-140
EN
We investigate the complex dynamics between social service entrepreneurs and social sector managers through the lens of network metaphor, utilizing our data on social service entrepreneurs’ experiences of cooperation with municipalities. We examine what kinds of dependencies exist in the entrepreneur–municipality relationships and what kind of consequences these dependencies have on social service businesses run by entrepreneurs. Basing on the social service entrepreneurs experience, our findings suggest that while the cooperation with the municipality represents a prerequisite for success, their business represent only one alternative for the renewal of social service structures from the point of view of municipalities. In addition, the existence of legally enforced supervisory duties incorporates a considerable amount of power that influences areas of the entrepreneur–municipality relationships and interaction other than just those defined by the supervisory and regulatory rights.
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