Some people think that the best way to run a business is within the family. What are the advantages and disadvantages of a family run business?

It is thought by some that running a
business
within the family is the most appropriate way to do it. It allows for partners to be closer to each other and ensures continuity down the generation, but there are
also
drawbacks to these benefits that should be taken into account. On the one hand, doing
business
with relatives comes with a lot of benefits.
Firstly
, the
business
partners will always be people that have known one another for a very long time and,
therefore
, they consider themselves loyal to the enterprise.
This
removes the benefits of doubt that might have occurred when dealing with a stranger.
Secondly
, it is
also
easier to source for money for the company, as a large number of people are involved. Members of the family contribute their quota to the
business
development.
Finally
, many families, strive so hard not to allow their
business
to die and
this
is a very good part of doing a family
business
.
On the other hand
, there are
also
demerits of trading with family. One demerit is the lack of proper organizational structure.
In other words
, the numerous numbers of people involved makes management uneasy.
In addition
to
this
, the people at the helm of administrative affairs may not be qualified for
such
positions, they might have been chosen based on their old age.
Furthermore
, large numbers of people involved in the
business
could mean that arguments would be bound to occur.
Hence
, decision making will not be as quick as possible because each member of the family is a stakeholder. In conclusion, despite the merits of doing family with
business
, the fact that decision making is slow and some family members may be in serious should
also
be considered.

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  • namely
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  • take, for example

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Essentional vocabulary list for IELTS Writing 7+

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Topic Vocabulary:
  • loyalty
  • trust
  • communication
  • generational knowledge
  • long-term outlook
  • family traditions
  • stability
  • cost-effective
  • flexible payment arrangements
  • conflict
  • tensions
  • roles
  • diversity
  • external perspectives
  • innovation
  • adaptation
  • succession planning
  • instability
  • leadership
  • ownership
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