THE DOWNFALL OF CHINESE FAMILY BUSINESSES IN EAST JAVA, NDONESIA

The purpose of writing this article is to uncover the causes of the destruction of Chinese family business in
East Java, Indonesia. Using a descriptive qualitative method, it examines the phenomenon of the individual owner
of the company. The number of respondents is based on the needs of the data. When the information has
reached the saturation point, the search for respondents is stopped. The analysis finds that family businesses in
the first, second, third generations can face the downfall because of the causes from within the company and from
outside. Factors from the inside company is human traits such as greedy, selfish, arrogant, cunning, and family
disintegrations such as family disputes over inheritance. Factors from outside the company are natural disasters
market dynamics, andbusiness location.