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The Family Way

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The Family Way

The ultimate question to be answered in the family business world: family first or business first?

According to the book Management of the Absurd by Richard Farson, he had a different point of view, “There is yet another spin to this paradox that I have found intriguing – that opposites not only coexist, but can even enhance one another.”

How to address the concern? Family business members don’t want to decide because they know the likely negative effects on the business and/or the family of choosing one over the other. Similarly, family business consultants have observed family businesses at various stages of development across the globe know it’s actually a trick question, and that the best answer is to choose both – family first and business first. Much of the answer lies in successfully mixing family and business. I personally think that this is the fundamental challenge – one best viewed as an opportunity. The family system has a set of norms, beliefs and values. Business systems typically have a very different set of norms, beliefs and values. As a result, these two systems behave in distinct ways that can conflict and give rise to many challenges. So, when issues arise between family and business, members often feel forced to choose one or the other. What’s more, many family business experts will advise family businesses to choose, with some arguing that the only choice is the business. After all, they reason, if the business is harmed, what’s left? Other advisors will argue that the only choice is the family: why own a business if it fractures the family? To choose or not to choose? This is probably another dilemma or I should say another challenge question to address. Business professionals, for the most part, have been trained to choose an alternative. They do this by analyzing the positives and negatives of each option, along

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