Blockchain Meets Winery Innovation for SME Succession

Christian Hitz¹, Vaclav Pechtor², Ali Cem Guler¹, Joel Egli¹, Artan Perkola, ¹Zurich University of Applied Sciences (ZHAW), Switzerland, ²Prague University of Economics and Business, Czech Republic

ABSTRACT

SMEs differ fundamentally from large organisations when it comes to succession planning. If large companies are looking for suitable promotions, SMEs are looking for external buyers who are difficult to find. Cultural differences between the previous owner and the successor, as well as resistance from the workforce, can also jeopardize succession. Inheritance disputes in family businesses are also legendary. This study carried out a survey on a family business in the wine industry that can be described as a small business with a production of 100,000 bottles per year. We know from this company that succession planning is considered to have failed and there is no buyer for the winery. One possible discussed solution to this problem could be a so-called decentralized autonomous organization, which has been researched in the sector with the WineDAO project, an innovative concept that explores the potential of a decentralized wine economy. The topic has been investigated by conducting a survey among wine experts, but also possible investors of a winery. A survey with 91 participants revealed a solid initial interest, with experienced investors over 45 years of age showing a greater willingness to invest. The findings highlight the potential of WineDAO but also underscore the need for strategic planning and a well-defined business model.

Keywords

Succession Planning, DAO, Blockchain, Corporate Governance.