Family Influence on Business: Application of A Modified F-PEC Scale to Private Small Business In Vietnam

Abstract:This paper uncovers dimensions of family influence on private small business in Vietnam. Although the F-PEC scale, which comprises three subscales for power, experience and culture dimensions of family influence, has been validated in the literature, application of the scale in an Asian context, like Vietnam, may face challenges due to context differences. The study modified the original scale based on qualitative findings from five interviews with entrepreneurs and comments on the scale from business scholars. Data from a survey of 143 entrepreneurs were used for EFA, resulting in four factors. And CFA proves fitness of the measurement model of the four-factor structure to the data, in which two dimensions regarding the cultural aspect were confirmed.