There are some family businesses that survived many generations after the original founders. There are some that folded up, not due to poor performance, but internal rivalry and other ridiculous reasons beyond the control of even the most prudent managers.
One of the reasons why some family businesses can survive tough economic times is because the family sees itself as a unit going through thick and thin. Every responsible employer knows that he has to pay his employees before he pays himself. If there are enough family members who put themselves in the position of the leader, tighten their belts along with him, making sure that employees are paid, suppliers are paid, utilities are paid before they pick up their share, the business is likely to survive a lot more punishment than one that relies solely on employees who are not related.
A family business loses all its advantage when members treat themselves like unrelated employees, demanding to be unaffected by any downturn. Even when the leader is sacrificing his own income to keep the business going, these people act like they have bought an insurance policy, insisting on the “guaranteed income” that the unrelated employees are getting. These family members seem to forget that they stay in the boss’ house, have their electrical bills, phone bills, TV licence and internet acccess paid for by the boss. They even enjoy the luxury of a maid paid for by the boss. Yet, they are jealous of the unrelated employee who indulges in the occasional branded handbag, feeling that it’s an indication that these people are “overpaid”.
Fortunately, bad times don’t last forever. When things take a turn for the better, some family members involved in the business are the first to insist on raises and bonuses – for themselves. In other words, they take no ownership of debt but want a healthy share of profits, feeling absolutely no guilt in making such demands.
When they are unhappy with the job, they may pass all kinds of disparaging remarks about the family business before leaving. When they find out that they are not being treated better elsewhere, they insist on going back to the family business, thinking that it’s their right and conveniently forgetting all the nasty things they’ve said when they left. They normally behave for the first few months, but once they settle in, they start playing “threaten the boss”, insisting on being bribed for good behaviour. If not, they’re going to wreck the office.
I guess even fair-weather friends would not have the cheek to behave this way. When they are family, what do we call people who turn the concept of family into a business?
Dewdrop Notes
Dr Chan's Kitchen