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 it is beneficial to have a family-owned
business
. There are advantages of the family
business
but there are
also
drawbacks to be taken into account. On the one hand, there are a number of benefits of a
business
that is
run within the family.
Firstly
, in a family
business
, people
work
for themselves so, they will
work
harder and be more dedicated to taking their company to a new height and making it lucrative.
Secondly
, the
business
can be passed down through the generations. The new generations could learn numerous things at a very young age about
business
from their family
members
.
As a result
, they will be able to handle the
business
as they grow up without having to employ other unknown people.
Thirdly
, they have a flexible
work
schedule; they do not have to
work
from 9-5.
This
factor contributes towards increasing their efficiency and helps them to remain focused on their
work
.
On the other hand
, one drawback of a family
business
is that due to nepotism, family
members
might be promoted to higher positions
instead
of skilful non-related staff, and they might not have the required skills to be successful managers and directors.
Thus
, it will hamper the
business
resulting in mediocre
business
performance. Another downside is that
business
disputes can lead to family conflicts because issues become subjective rather than objective.
Consequently
, the bond between family
members
might be destroyed forever. In conclusion, there are benefits of having a family
business
, as the family
members
give their best because they are working for themselves, and they have a flexible
work
schedule.
However
, there are some drawbacks,
such
as nepotism, and family bonds might be damaged because of
business
disputes.
Submitted by devina.shrestha6 on

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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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