SJC

INSTITUTE OF TECHNOLOGY

TECHNICAL INNOVATION MANAGEMENT AND

ENTREPRENEURSHIP
(18ES51)

Presentation on
FAMILY BUSINESS
Introduction
* Family business in INDIA has been practised

since long.
* The origin of family business in INDIA is

traced back to the baazar system in the

ancient time.
* In industry form it has evolved recently

(From British rule and first world war)

* Most of the big corporate business house

like TATAS,AMBANIS,GODREJ,ADANIS,MAHINDRA

etc are controlled by families.

 MEANING

A family business is defined as any

business in which two or more family

members are involved,the majority of

ownership or control lies within a family.

Top of Management : Policy formulation

and decision making power is centralized.
Family Business In INDIA

FIRST GENERATION SECOND GENERATION THIRD GENERATION

* ADANI Group * RELIANCE * TATAS,BIRLAS,BAJAJ

* BHARTI ENTERPRISE * WIPRO * HERO
FIRST GENERATION ENTREPRENEUR
These are similar to new enterprise.
They will not get any aid but use their innovation and
creat an own way to do the business and succeed in life.
Example : Dhirubhai Ambani,Jehangir Ratanji Tata.

SECOND GENERATION ENTREPRENEUR

These get an oppurtunity to lead a flourshing business.
They enter the family business at mid or senior management level and
after they hone their skills and demonstrate their abilities.
After that they are handed over the reins of the business.

THIRD GENERATION ENTREPRENEUR

They need to innovate and establish their core team.
There is a constant need to stay updated with technological department
and the latest trends.
 KEY CHARACTERISTICS OF FAMILY BUSINESS

* Family businesses formalized good communication through family councils and

regular family meetings with agendas and structure.

* They created a family constitution that sets out the values, the principles and
guidance needed to help families navigate the turbulence between family and
business.

* They create a formal board of directors even small family businesses need some
form of governance
* They create an advisory council these are trusted advisors that come from a
Variety of backgrounds from law to financial management.

* It's a formal set of policies protocols and rules to help the family business
make the tough decisions associated with how family members can enter
the business, how family members can be promoted and how non
family members can be treated,motivated and rewarded for their service.
Challenges
of
Family
Business
References

https://youtu.be/0MvJt5DRuPI

https://youtu.be/pnaKCAwHl7A
Thank
You!