When you incorporate a company or a partnership like mine, or even a small enterprise, where you control everything, you will want it to exist even if you are no more in this world. I frequented a few food stalls and restaurants which are the easiest example where one would like to keep the name of the former owner just so that the current clients will still be familiar with them although there might be a change of the cook at the back which sometimes cannot save the restaurant from going under as the taste became different, the restaurant may receive visitors just because of familiarity of the name. That is why people keep on comparing successful business with McDonald's where the same food is serve wherever you are and people keep on looking for the same taste everywhere they see the golden arches.
But, without a succession plan, a business may collapse overnight. If there is no one to take over, whatever business that company is selling might not sell unless a dynamic leader can steer the ship properly. Succession has been evidence in the news for a few month now. In United States, the President has changed from George W. Bush to Barack Obama. This is not a succession plan per se, but it is more of a change of leadership which is forced on by the system of governance there. Then in Malaysia, the succession plan which seems to be approved by the people has just been shown to have flaws when in two of the three by-elections under the new Prime Minister were lost by the ruling coalition. There must be something wrong there.
Remember that Ferrari gig that I went? You can check the post here in which I watched the unveiling of the largest showroom outside of Italy by a company in which the founder died a few months back and the stable of company under his control passed to his sons. That company is thriving in its business and is growing from strenght to strength. It seems the father did manage to train his children well before he passed away.
I wish for such succession too one day. I may not pass on my business to my own child but it maybe to one of the lawyer who is working under me. When I do, I hope he will carry the legacy of the name perpetually...