Exploring the Affluenza Phenomenon among the Children of Entrepreneurs (A Grounded Theory Study)

Document Type : Research Paper

Authors

1 Phd Candidate Student, Islamic Azad University of Dehaghan,

2 Associate Professor, Islamic Azad University, Dehaghan Branch

3 Associate Professor, Islamic Azad University, Tehran North Branch, Iran

Abstract

The emergence of the affluenza phenomenon as a symbol of extreme consumerism among the children of the entrepreneurs’ family can threaten the survival and growth of businesses that has not been so far studied comprehensively. The main purpose of this paper is to investigate the phenomenon of affluenza among entrepreneurs’ children using the grounded theory. After coding and analyzing, the information obtained from 15 semi-structured interviews (based on purposeful sampling method) with entrepreneurs of Tehran chamber of commerce, 117 concepts, 20 components and 7 categories were extracted using Atlas.ti software. According to findings of the study, the causal conditions of Affluenza phenomenon are factors such as unbalance between business and life by entrepreneurs, unfavorable role modeling of entrepreneurial parents along with unfavorable entrepreneurial national framework/conditions (unfavorable business environment) that creates Entrepreneurship-aversion mindset among the children of entrepreneurs. This mindset leads to non-entrepreneurial and even anti-entrepreneurial actions such as extreme consumerism, escape from hardship and etc. among the children of entrepreneurs. Family unfavorable environment (as contextual conditions) as well as general framework/conditions of society such as public culture and macroeconomic situation in the country (as intervening conditions) affects the entrepreneurship-aversion mindset of their children. The consequences of the affluenza phenomenon at the individual level lead to the lack of forming the transgenerational entrepreneurship, as well as at the business level leads to the lack of business survival and growth. Further, the affluenza phenomenon leads at the national level to loss national resources and lack of development of entrepreneurial national culture.

Keywords

References

دانایی‌فرد، ح و امامی، س. م، (1386)، استراتژی پژوهش کیفی: تاملی بر نظریه‌پردازی داده‌بنیاد، اندیشه مدیریت راهبردی، 1 (2): 69-97.
صامعی، ح و فیض‌بخش، س. ع، (1393)، شناسایی روش‌های جانشین‌پروری برای پیشبرد کارآفرینی بین‌نسلی در بنگاه‌های خانوادگی ایران، توسعه کارآفرینی، 7 (1): 75-94.
نیل ترنبری (2006). استراتژی‌های رهبری کارآفرینانه. ترجمه: محمدرضا زالی و مجتبی صفی‌پور رشوانلو (1398). تهران: انتشارات جهاد دانشگاهی تهران.
 وبلن، تورستین (1970). نظریۀ طبقه تن‌آسا. ترجمۀ فرهنگ ارشاد (1383). تهران: انتشارت نشر نی.
Alsos, G. A., Clausen, T. H., Hytti, U., & Solvoll, S. (2016). Entrepreneurs’ social identity and the preference of causal and effectual behaviours in start-up processes. Entrepreneurship & Regional Development, 28(3-4), 234-258.
Bandura, A. (1977). Self-efficacy: toward a unifying theory of behavioral change. Psychological review, 84 (2), 191-215.
Bettinelli, C., Fayolle, A., & Randerson, K. (2014). Family entrepreneurship: a developing field, Foundations and Trends in Entrepreneurship, 10 (3), 161-236.
Bierl, P., & Kammerlander, N. H. (2019). Family equity as a transgenerational mechanism for entrepreneurial families. Journal of Family Business Management, https://doi.org/10.1108/JFBM-09-2018-0043.
Bizri, R. M., Kojok, A., Dani, A., Mokahal, M., & Bakri, M. (2012). Barriers to Entrepreneurial Endeavors in a Developing Economy‖. Hariri Canadian University, Lebanon.
Boyd, N. G., & Vozikis, G. S. (1994). The influence of self-efficacy on the development of entrepreneurial intentions and actions. Entrepreneurship theory and practice, 18(4), 63-77.
Bozer, G., Levin, L., & Santora, J. C. (2017). Succession in family business: multi-source perspectives. Journal of Small Business and Enterprise Development, 24 (4), 753-774.
Cardella, G. M., Hernández-Sánchez, B. R., & Sánchez García, J. C. (2020). Entrepreneurship and Family Role: A Systematic Review of a Growing Research. Frontiers in Psychology, 10, 1-17.
Cardon, Melissa S. (2008). Is passion contagious? The transference of entrepreneurial passion to employees. Human Resource Management Review, 18, 77–86.
Carsrud, A. L., Gaglio, C. M., & Olm, K. W. (1987). Entrepreneurs–-mentors, networks, and successful new venture development: An exploratory study. American Journal of Small Business, 12(2), 13-18.
Chlosta, S., Patzelt, H., Klein, S. B., & Dormann, C. (2012). Parental role models and the decision to become self-employed: The moderating effect of personality. Small Business Economics, 38(1), 121-138.
Colquitt, J. A., & George G. (2011). Publishing in AMJ—part 1: topic choice. Academy of Management Journal, 54(3), 432–435.
Corbin, J., & Strauss, A. (2014). Basics of qualitative research: Techniques and procedures for developing grounded theory. Sage publications.
De Graaf, J. (2001). Affluenza: The all‐consuming epidemic. Environmental Management and Health.
Kets de Vries, M. F. (1985). The dark side of entrepreneurship. Harvard Business Review, 63(6), 160-167.
Dou, J., Su, E., Li, S., & Holt, D. T. (2020). Transgenerational entrepreneurship in entrepreneurial families: what is explicitly learned and what is successfully transferred? Entrepreneurship & Regional Development, DOI: 10.1080/08985626.2020.1727090.
Global Entrepreneurship Research Association (2020), Global Entrepreneurship Monitor (2019/ 2020 Global Report), https://www.gemconsortium.org/report/50443
Guba, E. G., & Lincoln, Y. S. (1994). Competing paradigms in qualitative research. Handbook of qualitative research, 2(163-194), 105.
Habbershon, T. G., Nordqvist, M., & Zellweger, T. (2010). Transgenerational entrepreneurship. Transgenerational entrepreneurship: Exploring growth and performance in family firms across generations.
Hamilton, C. & Denniss, R., (2005). Affluenza: When too much is never enough, Crows net: Allen & Unwin.
James, O. (2007). Affluenza: How to be successful and stay sane. Vermilion. Reading.
Jaskiewicz, P., Combs, J. G., & Rau, S. B. (2015). Entrepreneurial legacy: Toward a theory of how some family firms nurture transgenerational entrepreneurship. Journal of Business Venturing, 30(1), 29-49.
Jennings, J. E., Breitkreuz, R. S., & James, A. E. (2013). When family members are also business owners: Is entrepreneurship good for families? Family Relations, 62(3), 472-489.
Lindh, I. (2017). An entrepreneurial mindset: Self-regulating mechanisms for goal attainment (Doctoral dissertation, Luleå University of Technology).
Lindquist, M. J., Sol, J., & Van Praag, M. (2015). Why do entrepreneurial parents have entrepreneurial children? Journal of Labor Economics, 33(2), 269-296.
Luthar, Suniya S. (2003). The Culture of Affluence: Psychological Costs of Material Wealth. Child Dev. 2003; 74(6): 1581–1593.
Makó, C., Csizmadia, P., & Heidrich, B. (2018). Heart and Soul: Transferring ‘Socio-emotional Wealth’(SEW) in Family Business Succession. Journal of Entrepreneurship and Innovation in Emerging Economies, 4(1), 53-67.
Marquis, C., & Tilcsik, A. (2013). Imprinting: Toward a multilevel theory. Academy of Management Annals, 7(1), 195-245.
Mathews, C. H., & Moser, S. B. (1995). Family background and gender: Implications for interest in small firm ownership. Entrepreneurship & Regional Development, 7(4), 365-378.
Matthews, C. H., Schenkel, M. T., & Hechavarria, D. M. (2009). Family background and influence on nascent entrepreneurs. In New Firm Creation in the United States (pp. 51-67). Springer, New York, NY.
Polin, B. A., Ehrman, C. M., & Kay, A. (2016). Understanding parental and gender impact on entrepreneurial intentions. Journal of Small Business & Entrepreneurship, 28(4), 267-283.
Pyromalis, V. D., & Vozikis, G. S. (2009). Mapping the successful succession process in family firms: evidence from Greece. International Entrepreneurship and Management Journal, 5(4), 439.440
Salvato, Carlo, Chirico, Francesco and Sharma, Pramodita(2010). Entrepreneurial Family and Family Firms. Entrepreneurship and Regional Development. DOI: 10.1080/08985621003726119 DOI: 10.1080/08985621003726119
Sarasvathy, S. D. (2009). Effectuation: Elements of entrepreneurial expertise. Edward Elgar Publishing.
Schmitt-Rodermund, E. (2004). Pathways to successful entrepreneurship: Parenting, personality, early entrepreneurial competence, and interests. Journal of vocational behavior, 65(3), 498-518.
Staples, D. S., Hulland, J. S., & Higgins, C. A. (1998). A self-efficacy theory explanation for the management of remote workers in virtual organizations. Journal of computer-mediated communication, 3(4), 220-222
Steyaert, C., & Katz, J. (2004). Reclaiming the space of entrepreneurship in society: geographical, discursive and social dimensions. Entrepreneurship & regional development, 16(3), 179-196.
Strauss, A., & Corbin, J. (1998). Basics of qualitative research techniques. Thousand Oaks, CA: Sage publications.
Subramaniam, R., & Shankar, R. K. (2020). Three Mindsets of Entrepreneurial Leaders. The Journal of Entrepreneurship, 29(1), 7-37.
Wiklund, J., Wright, M., & Zahra, S. A. (2018). Conquering Relevance: Entrepreneurship Research’s Grand Challenge. Entrepreneurship Theory and Practice, 43(3), 419-436.
Woodfield, P. J. (2007). Entrepreneurial succession: Intergenerational entrepreneurship in family business. In IFERA conference (unpublished), European Business School, Oestrich-Winkel, Germany.

Files

Share

How to cite

Statistics