Family vs non-family owned enterprises in tourism

Abstract

This research examines differences between family and non-family owned small and medium tourism enterprises (SMTEs) in regional tourism destinations. The study examines the long term ambitions of SMTE owners with regard to their commitment to stay in their town and maintain their business operations. Data was collected from 298 SMTE owners operating in small towns across regional South Australia. The sample comprised of family (n = 157) and non-family owned (n= 141) businesses. Using a four-item measure of 'commitment to stay in the town', results of the t-test analysis indicate significant differences between the two business groups. Family business owners have a stronger commitment to staying in their town and to continue operating their business for as long as possible. These results contribute to our understanding of the strategies and behaviours of family businesses in tourism and present important implications to destination managers aiming to support sustainable entrepreneurial development.