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?

Family businesses are quite popular in many countries. While some people believe that they have a higher chance of success others argue that
this
method will lead to many problems in the future. In my opinion, family businesses have certain pros and cons which will be discussed in the following paragraphs. Integrity and profound loyalty are the major advantages of running a family
business
. The family
members
will always stay together during any ups and downs of their
business
rather than quitting the existing
business
during the non-profitable stage.
In addition
to that, the young generation born in the
business
family is more familiar with
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the
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planning, human resources management, sales management, and financial management.
Therefore
, they are capable enough of running the
business
in any circumstance. All the
members
will always work hand in hand for a common goal. The
business
profit and losses are distributed among the family
members
according to stipulated terms and conditions.
Conversely
, the family-owned
business
is not always successful, because there are many disputes related to profit sharing, outside recruitment, and discussion making involved in
this
.
For instance
, the young generation is more likely to be irresponsible and immature. Sometimes family
members
are not truly interested in joining the family
business
but do so anyway because it is expected of them. The result is apathetic, unengaged employees. To conclude, a well-defined family-owned
business
will thrive for a long period.
However
, the family that runs their own
business
must ensure that disagreements between family
members
are resolved before they turn into a
business
crisis.
Submitted by drvaishalikhare on

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