14/10/2014
Within the ninth issue of the Bulletin (Family)
70 percent of family businesses in fast-growing markets seeking to maintain the management of the family business
The Executive Chairman of the Ghassan Group of companies confirmed that this transfer from family companies help to maintain family values and instilling it in action, and that corporate governance is essential to enhance corporate credibility and important element for the consolidation of stability. Naqel called in an interview with the 9th edition of the Bulletin (family) produced by the East Chamber to the family business for the institutionalization of their companies, and to document their family Pact could then progress the development of their business when facing difficult decisions, so the family is well prepared for any challenges that may appear before it at any time, and they can deal with these challenges when they appeared, and the best management to overcome them and to convert them to benefit from it.
There were several significant challenges to family businesses in the Arab world, particularly in Saudi Arabia because of weak governance and institutionalization, poor standardization of vision and working method, especially when moving to second and third generation. .. Stressing the importance of governance to ensure the continuity of the company and transfer between generations, as well as a guarantee for the development of company growth and real progress. Pointing out that there is awareness in this area than the previous, but still without ambition. And related reviewed wide release (a quarterly publication on family issues and corporate news) the results of the survey conducted by the company Ernst 280 family business in 33 countries (mostly in Europe and America), which said that 70 of the family business in fast-growing markets, seeking to keep the reins of the company in the family in the future, and that only 30 companies on the ground continue to second generation, while only 13 of the third generation, that while more than 50 The companies stressed that long-term management style is the most important factor for the continued success of the family business.
Meanwhile the bulletin quoted Secretary General of the Union of GCC Chambers Abdulrahim Naqi as saying: ' the most important challenges facing family businesses are globalization and the opening up of markets and the Elimination of restrictions to the movement of trade and investment around the world, globalization has taken more severe forms of competition in recent years. Noting that the number of family companies in the GCC States stood at 20,000 companies, account for 70 of the Gulf economy, non-governmental, as skip investments (domestic and foreign) 2.7 trillion dollars, employing 15 million workers (between national and foreigner).
