By Leon Gettler
But family business consultant Jon Kenfield says the trend could create new markets for family businesses in the future. “Rather than flogging the traditional stuff and being in areas like manufacturing and professional services, they will be looking to spark off each other to create sibling teams,” Kenfield says. “The ones that succeed will be the ones that harness the creative juices of what will be a better educated group of people, who have a much broader range of skills than their parents and they’ll be looking for new products. “It might be software development, it might be social media services, it might be hospitality that they will need to do at a higher level. “The successful ones will leverage off the fact that they are sibling teams and they will leverage that into a more innovative form of developing businesses which we haven’t even thought about yet.
In 20 years’ time, the sibling teams could take them to a completely different space. “At the moment [the family business sector] is quite secretive and it’s very paternalistic and I think that’s a recipe for death. It will have to become more open to meet the market and understand the client needs which it’s good at doing,” Kenfield said. “Family businesses have always been close to their customers but what they haven’t necessarily done is respond to those client’s needs. “What the next generation will do is say ‘there is a great big market out there, we can penetrate that market by looking at demand based business rather a supply-based business. ’ They will become more open and provide best teams and use the smarts of their education. “They will look at what some of the big companies have done like the Googles and Microsofts and the Apples and they will use some of the principles behind those to be innovative and creative and then use the family.
Read more here: Business Spectator