Cross-Cultural Influences on Generational Succession in Family Businesses undergoing Digital Transformation

This paper critically reviews the intersection of generational succession (GS), digital transformation (DT), and dynamic capabilities (DC) in family businesses (FBs), foregrounding the cultural contingencies that shape these processes. While family firms have historically been characterized by long-term orientation and socioemotional wealth (SEW), the accelerating demands of digitalization and strategic renewal necessitate a reconfiguration of intergenerational practices. Current literature, however, remains fragmented—treating succession, transformation, and capability building as discrete streams—and largely ignores cultural variance in shaping these dynamics. This review integrates underutilized macro-cultural frameworks, including GLOBE, Schwartz’s value theory, and Inglehart-Welzel’s cultural map, to examine how institutional logics and societal values mediate the alignment of SEW with DT and DC across cultures. Moreover, it highlights persistent theoretical gaps, including the lack of cross-cultural theorization, limited attention to the mediating role of entrepreneurial education and social networks, and the absence of integrated models linking GS to digital and adaptive strategies. By synthesizing these fragmented streams, the paper contributes a foundation for culturally embedded, capability-sensitive research on succession in family firms facing technological and institutional change.