Does the Incumbent’s Willingness to Let Go of the Family Business Affect Leadership Succession Planning in Malawi? A Quantitative Approach

Leadership succession remains one of the most significant challenges confronting family-owned businesses (FOBs), particularly in developing economies where ownership, management, family identity and interpersonal relationships frequently overlap. Contemporary research suggests that succession difficulties are not caused solely by the absence of qualified successors but can also arise from incumbents’ reluctance to relinquish authority, weak formalisation of succession arrangements and the socioemotional attachment of owners to their businesses (Khosa, 2024; Khosa & Baadjie, 2025; Ringo & Kibambila, 2025). African evidence further indicates that succession occurs within distinctive cultural, institutional and family systems that can affect the willingness of business founders to transfer authority to subsequent generations (Kupangwa et al., 2023; Okeke, 2025).

This study examines whether an incumbent’s willingness to relinquish managerial control influences leadership succession planning in family-owned businesses in Malawi. The study is primarily grounded in stewardship theory and the socioemotional wealth perspective, which together help explain why incumbents may simultaneously desire business continuity while experiencing difficulty surrendering personal control (Löhde et al., 2021; Motylska-Kuzma et al., 2023; Calabrò et al., 2024).

A quantitative cross-sectional design is proposed, covering family-owned businesses operating in Blantyre, Lilongwe, Zomba and Mzuzu. Data was collected from 120 family-owned businesses to demonstrate the proposed statistical analysis. The results reveal a strong positive relationship between incumbent willingness to let go and leadership succession planning (r = .621, p < .001). Multiple regression results further indicate that incumbent willingness significantly predicts succession planning (β = .548, p < .001) after controlling for incumbent age, business age, business size and generation of ownership.

The model explains 43.8% of the variance in succession planning. The results suggest that succession readiness cannot be understood solely in terms of identifying and preparing a successor; incumbents must themselves become psychologically and managerially prepared to transfer authority (Khosa, 2024; Ringo & Kibambila, 2025). The study contributes to the emerging literature on family-business succession in Malawi and sub-Saharan Africa by conceptualising incumbent willingness to relinquish control as an important dimension of succession readiness.

Keywords: family-owned businesses, incumbent, leadership succession, succession planning, willingness to let go, Malawi, stewardship theory, socioemotional wealth.