Hasidic monarchy, did it run it's hereditary course?

Schneur Zalman of NY writes:
Last week the fourth Bobover, Rebbe Rav Naftoli Zvi Halberstam died in Boro Park following a long illness. Although his reign was short he had served as his father�s chief aide de camp for many years. As such he was responsible for the growth of the Bobover school system and its community. In the short time of his rebbistve, he acquired a name as a baal mofes and inspired his followers.

His death has led to a split in the Bobover Hassidic community. This sect is regarded as the 3rd largest in the U.S., following Satmar and Lubavitch. Following the death of the previous third Rebbe Rabbi Shlomo Halberstam his second son Rabbi Ben Zion was proclaimed as the "Young Rav" while his half brother Rav Naftoli Zvi was made the Rebbe. Implicit in this proclamation was that Reb Ben Zion was now The Crown Prince of Bobov. Rav Naftoli Zvi Halberstam had no sons, rather two sons in law Rabbis Rubin and Ungar (both are also eyniklech of the Divre Chaim of Sandz).

Reb Ben Zion was not highly regarded by many in Bobov. Many of the scholars in the younger Bobover community regarded him as a non entity in terms of scholarship and spirituality. The leaders of the community resented the fact that he rarely was active in building their community. Nevertheless Rav Ben Zion was regarded as a charismatic figure who sang well, danced well and preformed the public role of a Rebbe in a proper manner. As such he had the support of the wealthier community members and those who did not want to rock the boat.

With the death Rav Naftoli Zvi Halberstam the split has surfaced. Rav Ben Zion was proclaimed Rebbe, but Rav Naftoli's son in law Rabbi Ungar a long time Rosh Yeshiva in Bobov was also proclaimed Rebbe. Rav Ungar was seen as a spiritual seeker and a mystical leader. The new counter Rebbe's followers rented synagogue facilities elsewhere in Boro Park. As of now it seems the institutions are controlled by Reb Ben Zion. However final determinations are to be made by some sort of rabbinical court.

Hasidism has reverted to its original nature which is constant machlokes and splits. Satmar is currently split between two fighting brothers while their father is still here. Lubavitch is in a complete state of disconnect from reality. Bobov is now officially split. Vishnitz has a war between two brothers like Satmar, while the Rebbe their father is alive and well. Kluizenberg has two Rebbes in a cold war. Toldos Aron is split with Toldos Avrohom Yitzchok and so on. Some groups are still basically united like Belz, discounting the old Belzers and the Machanovker Rebbe or Ger, discounting the on again off again war with Rav Saul Alter), etc.
What does this say about Chassiduth and the institution of hereditary Rebbes?
Schneur