Understanding the characteristics of family owned tourism micro businesses in mountain destinations in developing countries: evidence from Nigeria

• The paper extends Miossec’s (1977) model to include entrepreneurship.
• The tourism businesses are predominantly run by males and the extended family.
• We find a novel form of loans from ‘local banks’.
• We find economic survival motive and lack of succession planning.

The objective of this study is to contribute to the understanding of family-owned tourism micro businesses in Obudu Mountain, a resort destination in Nigeria. The genesis of such businesses is explained with reference to the destination development model of Miossec (1977) which emphasizes the key role of a pioneer resort that then acts as an incubator for subsequent ventures catering to an ever-broadening circle of demand as visitation to the destination increases. Paying specific attention to traditional family structure and the demographic composition of family-owned businesses, start-up issues, motivation, training, and succession planning, a qualitative semi-structured interview was conducted with 38 members engaged in existing family-owned tourism micro businesses. Family-owned provision shops, alcohol shops, restaurants and hotels constitute these businesses, predominantly run by males utilizing extended family members in contrast to the norm in western societies of the nuclear family unit. Start-up funds were sourced from personal savings, contributions from family members, and a novel form of loans from ‘local banks’ that are an indigenous source of community funds embedded in local village society. Their motivation is for economic survival while a lack succession planning affects the long term sustainability of the businesses.