Number

No.2018-01

Month of Issue

February 2018

Title

Family Structure and Spin-offs: A Study on Micro and Small-sized Metal-working Firms in Indonesia, 1980s-2015

Author(s)

Setia Diarta
Takafumi Kurosawa

Affiliation(s)

Graduate School of Economics, Kyoto University

Keywords

family structure; spin-offs; metal-working industry; Indonesia

Abstract

This study establishes the relationship between family structure and spin-offs in small metal-working firms in Indonesia. It also explores how generational changes influenced the transformation of these firms. It draws on archival sources and semi-structured interview results to examine metal-working smallsized firms in two metal-working clusters in Indonesia, namely Sukabumi and Tegal. The finding shows that the second and third generation family members promoted the spin-offs, and it stimulated the development of cluster for metalworking industry in both regions.