Career development and affective commitment: a comparative study of family and nonfamily businesses

Abstract

PurposeThe purpose of this paper is to investigate whether there is a difference in career development programs between family and nonfamily companies. Moreover, the paper explores the relationships between career development dimensions and affective commitment in a family business setting.Design/methodology/approachA cross-sectional questionnaire-based survey was used to collect data from 506 employees in Bosnia and Herzegovina across the different industries. Independentt-test and hierarchical regression were used to test the hypotheses developed in the study.FindingsThe findings supported our assumptions that there is a significant difference in career development opportunities between family and nonfamily companies. Moreover, career development has a higher influence on affective commitment in the family business setting.Research limitations/implicationsThe data for this study was collected by using convenience sampling, as well as a cross-sectional survey method, which limits the generalization of results. Due to the unavailability of a public database, we relied on employees’ perceptions when it comes to the ownership of a company.Practical implicationsTo keep key employees, family business owners and managers have to invest in career development programs. The study shows that by aligning employee and organizational goals, offering professional development and remunerating the positive performance helps in keeping the most valuable assets within the company.Originality/valueSo far, the research about career development in family businesses was insensible. This study provides an important contribution to the understanding of career development and its outcomes in family businesses.