Management of a Family Business Essay Example | Topics and Well Written Essays - 3250 words

Management of a Family Business - Essay ExampleA family line of work can be described as the kind of commercial organisations where the decision-making process is often influenced by several generations of a meeting of people that ar united by marriage or blood. In many instances, these people are often identified by the particular business through ownership or the process of leadinghip. It is authorised to realize that businesses that are characterized by an effective kinship between the owner and manager cannot fall into this household of businesses because of lack of the element of marriage or blood relationship. For this reason, family businesses are those that have a unique relationship of the leaders and managers of the particular business. In the recent, studies on the growth and operations of family-run businesses have been increasing however, DeRond &Bouchikhi, explains that this is not ever easy as compared to those businesses that do not have such kinds of mutual r elationships. According to Deresky, one of the reasons that makes the exact of these businesses something quite hard depends on the fact that these businesses do not always have proper standards of business management like other businesses. On many occasions, it is the high level of trust among the managers and other leaders that drives the growth and success of these businesses. These businesses tend to lack many of the requirements for effective financial reporting additionally, very curt information is often given to the public about these businesses regarding their financial performance as well as other important aspects