Abstract
This chapter deals with the significance and interaction of four key elements for the development of the family business: on the one hand, the leadership and the working environment as human elements, and on the other hand, the resource management and strategic planning. After reviewing some literature, the authors concluded that family business, through their socioemotional wealth (SEW), emotional intelligence (EI), and social intelligence (SI), generate an interaction between these four variables which results in a model centered on the socioemotional intelligence (SEI). The SEI is the main pillar of family businesses, as these are classified in four types: the fearful, the curious, the careful, and the focused.
Key Terms in this Chapter
Financial Capital: It refers to equity that a company or person has, either because it is saved or invested in a financial market.
Relational Capital: Ability to interact with stakeholders by creating a sense of belonging and interaction among all.
Structural Capital: Knowledge gained by a company as a product of its daily operations, either in the market or with its customers, is housed within each worker or in an information system; it is a significant source for the creation of competitive advantage.
Socioemotional Wealth (SWE): Variable that builds trust within the family businesses; considered an intangible resource within these companies.
Emotional Intelligence: The ability that allows us to identify, understand, and manage emotions properly so that relationships with others are facilitated.
SEILERS: Acronym for socioemotional intelligence for leadership, environment, resources and strategy, and refers to the dynamic model of these variables; it is based on the SEI.
Human Capital: One of the most critical resources in a company; it is related to productivity, capacity, and workers experience.
Socioemotional Intelligence (SEI): Conceptual skill that works as an engine for the interaction between leadership, work environment, resource management and strategic planning in family businesses. The socioemotional intelligence is based on the action variables of the family business, that is, society, intelligence, and emotions.
Social Resonance: Term associated with the relational capital; the ability of a company to interact with the environment, looking for better sustainability of the company and its stakeholders as a result.
Social Intelligence: Skill which allows people to relate harmoniously with others.