Succession in owner-managed firms is rarely planned. Furthermore, it rarely occurs during the lifetime of the owner-manager. Even when it does, it is often ineffective. Although the literature cites various explanations as to the problems associated with succession in owner-managed firms, these explanations lack a coherent and encompassing theory to explain its dynamics. The author proposes that the issue of succession in owner-managed firms be viewed under the prism of extraversion, a psychological attitude that may help clarify succession's most fundamental features and explain the factors underlying its process.
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