Virtual Event: “Understanding Chinese Family Businesses: The Path, The Trends, The Future”
On November 19th, the IE China Center, together with Cheung-Kong Graduate School of Business (CKGSB), presented the report “Understanding Chinese family businesses: The Path, The Trends, The Future”.
IE China Center Academic Director, Bin Ma and Prof. Fan from Cheung-Kong Graduate School of Business (CKGSB) were the main panellists. “Under the present circumstances, we are very proud to have been able to produce this report”, said Felix Valdivieso, IE China Center Chairman. This report follows the one published last year European vs Chinese Entrepreneurship: A comparison.
This report on Chinese family businesses, tracked more than 300 companies, covering over 20 industrial categories, over a five-year time span.
As conclusions, researchers affirm that Chinese family businesses are valuable assets in the Chinese economy as they provide a wide range of opportunities for global investment and collaborations. Moreover, they have become more mature and modern than before making them more predictable and transparent.
Despite the outbreak caused by the Covid-19 pandemic and its consequences, interviews show that China’s family-run companies have a high degree of confidence in a return to normality, based on their expectations of both a relatively short recovery period and effective assistance policies initiated by the government.
From IE Center for Families in Business, we are delighted to have participated in this report. Our Chairman, Carlos Mas, contributed by writing an interesting article entitled “Families in Business: a bright future in Europe and China” which compares the differences and similarities between both continents regarding families in business. One of the principal arguments is that family businesses have a bright future ahead despite the challenges of uncertain environments due to their ability to accept risks and their long-term vision that leads to a higher commitment to the firm and therefore, to apply better management practices.
“Family-run firms are more willing to take risks and create new products and markets. Moreover, the family structure encourages better management practices, thanks to their long-term vision and a higher shareholder commitment to the firm. These characteristics reinforce the competitive advantages of family firms, allowing them to navigate changing environments” Carlos Mas, Chairman IE Center for Families in Business
Our mission at the IE Center for Families in Business is to help families in business to make the most of their unique characteristics to harness opportunities for sustainable growth while pursuing family cohesion and smooth succession.
Link to the report: “Understanding Chinese family businesses: The Path, The Trends, The Future”.