Family businesses: how to build a successful business without harming personal ties?
Create and maintain a business It has never been easy and much more if you want to have a family business. be in front of a family businessr more than 65 years in the market is an arduous task, especially in a country with an unstable economic context, where you always have to be prepared for constant changes. In this sense, with a long way as entrepreneurs, we can say that there are several factors that always have to be present in the business to make a company successful.
Currently family businesses are seen as small businesses that are moderately successful. However, giants like Walmart, Ford, BMW and many more have family roots. Likewise, according to a report published by the Center for Family Business at the University of St. Gallen, Switzerland, in 2019 it was highlighted that family businesses, which constitute between 80 and 90% of companies worldwide, are an important engine of GDP and the growth of employment.
On the other hand, in Argentina, family businesses are a sample of the entrepreneurial spirit and the perseverance that characterizes millions of citizens. These companies, often started by a small group of people, manage to establish themselves in the market and consolidate themselves as leading brands, thanks to a combination of creativity, learning, identity, common purpose, strategy, long-term vision and a corporate culture strong and consistent.
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However, one of the primary factors to remain current, competitive and profitable in the market is the innovation. For this, it is essential to have a broad and clear vision of what is happening in the business environment, to be attentive to opportunities for improvement, solution and transformation, as well as to identify new products and services. Observing the environment from this perspective forces all members of the organization to have a look beyond the immediate, a vision of the future.
As in almost all Family businesses, this was launched by previous generations that manufactured other products, but as new family talents joined, the ideas and business proposals evolved. In this framework, while onboarding new perspectives can be challenging at first, it is crucial to the continued success of the business and staying ahead of the competition.
We know that any change process can be difficult, especially when there are differences in the way of thinking and in the management models, but their implementation in an articulated, organized and correctly oriented way can lead to significant improvements in the long term. So it is essential that older generations remain receptive to new ideas and foster a space to actively participate in decision-making. Doing so creates a company culture that values innovation and adaptability, which can drive continued growth for the company.
Currently, the success of a company is not limited to its productive capacity or the possibility of offering quality products. Commitment to the community and social responsibility through solidarity initiatives in support of the education and the culturecontribute to strengthening the brand image and reputation as a company committed to the well-being of society, which affects loyalty and, in turn, the organization’s trajectory.
Today we consider that family businesses are an example of how it is possible generate employment, innovate and contribute to the development of the community. Argentina needs more family businesses that transcend from generation to generation and that are committed to national talent, quality and the well-being of the country.