Entrepreneur Families in Asia
Situation:
S & P
Patara and Suthisada, sisters, and sisters-in-law, Pontipa and Pornpilai, has put up an icecream parlor, S & P Ice cream parlor in Bangkok. A few years later, S & P has expanded its product line to bakery goods and different restaurants. Kachorndej and Varakon, brothers joined the business during it was starting to expand. The business involves, icecream, breads, Thai restaurant, Chinese restaurants in different areas and Thailand, London, Singapore, Taiwan.
Melewar Corporation
Construction company, travel and tours , transportation, manufacturing of computers and investment holding companies established by former politician, Tunku Abdullah. He turned over his legacies to his children.
Blue Bird and Big Bird, Cassava and Compressed Natural gas
Ibu Matiara, owner. Ibu strived hard to raise her children since his husband died. Fortunately, the businesses she started has grown.
Problem: -no major problem and issue at all.
Analysis:
Family conglomerates have their own core gifts that should put on the right character.
Decision:
Follow the arithmetic of family conglemerates
Action:
S & P
Lessons from the arithmetic of family conglomerates; The Entrepreneurial clans of asia case study by Prof. Eduardo Morato
"Add enterprises to provide opportunities and elbow room for the family members"- a family business that has grown into different industries gives opportunities in terms of new products and innovations in the market, job opportunities and areas to grow more.
"Multiply to create critical size, market clout and competitive advantage"- go into branches to different strategic areas. The brand presence in different areas creates a strong clout, and competitive advantage.
"Subtract to rationalize, cut losses.." – lessen the losses by cutting it, before its too late. A takes risk should also be carefully calculated. Know when to stop already.
"Divide to keep peace and unity among the family, pass on the legacy to the next generation and demarcate distinct areas of responsibility and accountability"- sharing and turning over the legacy of a successful business to the next generations is building a brand which will last long and that people will continuously trust. Delegate to the capable and more talented others. Every entrepreneur has their own core gifts. Let the family members with fitted talents on respective businesses handle it and thrive it more.
