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Crisis Leadership in Family-Owned SMEs : A Qualitative Study on Leadership Strategies and Organizational Adoption

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Title: Crisis Leadership in Family-Owned SMEs : A Qualitative Study on Leadership Strategies and Organizational Adoption
Authors: Meyner, Moa, Emanuelsson, Clara
Publisher Information: Jönköping University, Internationella Handelshögskolan, 2025.
Publication Year: 2025
Subject Terms: Leadership, Crisis Management, Family-Owned SMEs, Post-Crisis Strategies, Business Administration, Företagsekonomi
Description: Background: Family-owned small and medium-sized enterprises (SMEs) are vital to both national and global economies, shaped by a unique overlap of business and family roles. They often emphasize long-term legacy, internal trust, and generational continuity. However, these qualities can also heighten vulnerability during crises, due to emotionally driven decisions, resistance to change, and limited formal crisis planning. The COVID-19 pandemic presented an unprecedented global crisis, forcing immediate adaptation while disrupting the social and operational foundations of these firms. Purpose: This study explores how leadership in family-owned SMEs influences crisis preparedness and post-crisis learning. Using the COVID-19 pandemic as a case of external shock, it examines how leaders responded under pressure, how family dynamics shaped decision-making, and how learning from the crisis was applied to future strategies. The study addresses a research gap concerning the relationship between leadership behavior and crisis management within family-owned SMEs. Method: This qualitative, abductive study is based on 15 semi-structured interviews with owners and top managers of family-owned SMEs in Småland, Sweden, a region known for strong family business traditions. A cross-case comparative approach was used to explore variations in leadership, crisis response, and organizational learning. Thematic analysis, guided by Clarke and Braun’s six-phase framework, identified recurring patterns related to emotional decision-making, strategic alignment, and resilience. Supplementary observations and secondary data added contextual depth and strengthened validity through triangulation. Conclusion: The results show that leadership plays a pivotal role in both crisis response and long-term resilience. Leaders who managed the crisis effectively balanced business logic with emotional intelligence. Although emotional involvement sometimes delayed action, it also fostered cohesion and commitment. Participative and transformational leadership styles were associated with greater adaptability and strategic renewal. Post-crisis learning was strongest in firms where leaders reflected on their experiences and integrated insights into future planning. These findings emphasize the importance of structured crisis preparation, balanced leadership, and reflective learning to enhance the resilience of family-owned SMEs.
Document Type: Bachelor thesis
File Description: application/pdf
Language: English
Access URL: http://urn.kb.se/resolve?urn=urn:nbn:se:hj:diva-68219
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  Data: Crisis Leadership in Family-Owned SMEs : A Qualitative Study on Leadership Strategies and Organizational Adoption
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  Data: Jönköping University, Internationella Handelshögskolan, 2025.
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  Data: 2025
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  Data: <searchLink fieldCode="DE" term="%22Leadership%22">Leadership</searchLink><br /><searchLink fieldCode="DE" term="%22Crisis+Management%22">Crisis Management</searchLink><br /><searchLink fieldCode="DE" term="%22Family-Owned+SMEs%22">Family-Owned SMEs</searchLink><br /><searchLink fieldCode="DE" term="%22Post-Crisis+Strategies%22">Post-Crisis Strategies</searchLink><br /><searchLink fieldCode="DE" term="%22Business+Administration%22">Business Administration</searchLink><br /><searchLink fieldCode="DE" term="%22Företagsekonomi%22">Företagsekonomi</searchLink>
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  Data: Background: Family-owned small and medium-sized enterprises (SMEs) are vital to both national and global economies, shaped by a unique overlap of business and family roles. They often emphasize long-term legacy, internal trust, and generational continuity. However, these qualities can also heighten vulnerability during crises, due to emotionally driven decisions, resistance to change, and limited formal crisis planning. The COVID-19 pandemic presented an unprecedented global crisis, forcing immediate adaptation while disrupting the social and operational foundations of these firms. Purpose: This study explores how leadership in family-owned SMEs influences crisis preparedness and post-crisis learning. Using the COVID-19 pandemic as a case of external shock, it examines how leaders responded under pressure, how family dynamics shaped decision-making, and how learning from the crisis was applied to future strategies. The study addresses a research gap concerning the relationship between leadership behavior and crisis management within family-owned SMEs. Method: This qualitative, abductive study is based on 15 semi-structured interviews with owners and top managers of family-owned SMEs in Småland, Sweden, a region known for strong family business traditions. A cross-case comparative approach was used to explore variations in leadership, crisis response, and organizational learning. Thematic analysis, guided by Clarke and Braun’s six-phase framework, identified recurring patterns related to emotional decision-making, strategic alignment, and resilience. Supplementary observations and secondary data added contextual depth and strengthened validity through triangulation. Conclusion: The results show that leadership plays a pivotal role in both crisis response and long-term resilience. Leaders who managed the crisis effectively balanced business logic with emotional intelligence. Although emotional involvement sometimes delayed action, it also fostered cohesion and commitment. Participative and transformational leadership styles were associated with greater adaptability and strategic renewal. Post-crisis learning was strongest in firms where leaders reflected on their experiences and integrated insights into future planning. These findings emphasize the importance of structured crisis preparation, balanced leadership, and reflective learning to enhance the resilience of family-owned SMEs.
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      – Text: English
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      – SubjectFull: Crisis Management
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      – SubjectFull: Family-Owned SMEs
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      – SubjectFull: Företagsekonomi
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