The family business takes new meaning in Asian countries. In Asian countries, these forms of business are struggling to satisfy both family and business needs. These struggles are due to globalization and generational shifts that occur within the family. In order to keep the business in the family name and amongst relatives, the heads of the families are hiring people that are relatives regardless of if they are qualified to perform that specific job. Some family members may lack much needed skills that someone from outside of their kin could complete much more efficiently. Hiring non-kin is now essential to keeping the family business going. This is causing family feuds and problems within the business. Family businesses are struggling when it comes time for the offspring to take the place of the parent, this transitional period is important, but can be damaging to the business. About seventy percent of Asian firms are family owned; these include businesses such as Samsung and LG Group, both of which are now global products. The needs of the family members are not always the same needs as the business; here is the foundation of company troubles.
With many of these family owned companies being global products, products that we have become accustomed to purchasing may be in jeopardy. Companies could reach their downfall if issues with their families being part of their business are not resolved. This could lead to a depression in family businesses impacting the greater consumerist society. If the products that we purchase are no longer there, the consumer will have to decide whether or not to continue with another similar product, or to stop using the product all together. I am sure that Asian firms are not the only family businesses that are struggling to work through their difficulties; I think that this is potentially a worldwide problem. Family businesses can be a good idea; however when you are not willing to make sacrifices and hire outsiders who are better qualified, your company may begin a slow decline. Consumers depend on these family companies, just like their employees depend on their job, a resolution should be reached in order for these businesses to overcome their challenges and become successful once again.