Topic: Advantages and Disadvantages: Doing Business
The benefits of running of family business far outweigh the disadvantages. Relate this to your personal experience. Use specific examples and provide appropriate evidence to support your answer.
The definition of family business is a group of family members have controlling shares in a business (IFC Corporate Governance). Today, most family has their own company or factory. The family business across the world and continue to be more hopeful. The research shows that family businesses are positive in the future in next five years (PwC Family Business Survey, 2012). In this development of family business, running family business is profitable and confident about the future. Also my family is running a family business. This essay will examine the advantages (know each other better, save money in training and more energy in running own family business) and disadvantages (mix interests, lack of openness of outsides and easier to be lazy in own family business) of running family business.
One of the main advantages of running family business is people who come from the same family will know each other better (Ajaero Tony Martins).. At first, the relationship of family is forever and you cannot change it no matter the world is changing. Because of this relationship, family member can provide low-cost or no-cost labor. In this approach, we do not afraid of any money temporary. In my family business case, my mother brought one of my family member’s money to create a factory after than borrow from the money because of this low-cost labor. Therefore, people who are come from our family that can make us easier to communicate with them. Then, you will know the history of family business better than others. For example, Barilla Group has three brothers to inherit their father's business. They know the history of their father's business. For this situation, they not only make their family business running well,...