Management issues that contribute to the failure of family business

Abstract

The paper seeks to provide insightful analysis and suggestions for family-owned businesses by reflecting on their experiences and looking at the root causes of failure. Using a qualitative research methodology and a case study design, this study attempts to analyze the management challenges that contribute to the failure of family businesses in the corn silo company. Interviewing family members and employees who are used to being involved in the business. At the end of the research, the result shows the three challenges in a family business are 1. Governance, 2. Conflict management, and 3. Resource management. The recommendations focus on improving family-owned businesses by addressing governance, conflict resolution, and resource management. In brief: 1. Create clear structures and family constitution, 2. Authority clarity and conflict resolution, and 3. Knowledge enhancement, financial planning, and resource allocation.