Rising trend of female involvement is observed in family businesses, says report
A rising trend of female involvement is observed, particularly in managerial roles in Indian family businesses, a new report has revealed. However, female representation at the CEO and senior leadership levels remains limited.
- Sep 28, 2023,
- Updated Sep 28, 2023 2:03 PM IST
A rising trend of female involvement is observed, particularly in managerial roles in Indian family businesses, a new report has revealed. However, female representation at the CEO and senior leadership levels remains limited.
The Bharatiya Vidya Bhavan’s S P Jain Institute of Management & Research (SPJIMR) has released "India: State of Family Business Report 2023". This report offers insights into the intricacies of family businesses in India, shedding light on their challenges, successes, and evolving strategies.
"A rising trend of female involvement is observed, particularly in managerial roles. While 40 per cent of family businesses have women as owners, the majority (54.7 per cent) have female members actively managing the business. Female representation at the CEO and senior leadership levels remains limited," the report said.
SPJIMR's Centre for Family Business & Entrepreneurship report draws on a profound analysis and extensive surveys involving 357 family businesses from 17 cities across India. It provides a detailed exploration of the core attributes of Indian family businesses, with particular emphasis on small and medium-sized enterprises (SMEs).
The report reveals that family businesses in India predominantly consist of micro and small enterprises, significantly contributing to the nation's business landscape. Notably, 83 per cent of manufacturing businesses were micro or small, compared to 73 per cent in the service sector. This highlights the prevalence of smaller-scale enterprises among the family businesses surveyed.
"The study underscores the critical role of family businesses in India's economic landscape. It provides valuable insights into their contributions and challenges, reaffirming the resilience of these enterprises," Varun Nagraj, Dean of SPJIMR, said.
The report further underlines that generational involvement remains significant, with the first and second generations actively participating in 70 per cent of the businesses surveyed. Family ownership and control are paramount, with 51 per cent of enterprises reporting 100 per cent family shareholding, emphasising the closely held nature of family businesses in India.
It also highlights the digitalisation journey of family businesses. While approximately 25 per cent of family businesses prioritise digital and new technologies, the majority are embracing online sales for diverse reasons. Notably, SMEs exhibit intriguing preferences regarding digitalisation timing and methods, including their choice of e-commerce platforms, marketing strategies, and future online sales initiatives.
Also Read: 'Sit down Madam': Shiv Sena MP schools US Congresswoman Ilhan Omar over India-Canada remark
A rising trend of female involvement is observed, particularly in managerial roles in Indian family businesses, a new report has revealed. However, female representation at the CEO and senior leadership levels remains limited.
The Bharatiya Vidya Bhavan’s S P Jain Institute of Management & Research (SPJIMR) has released "India: State of Family Business Report 2023". This report offers insights into the intricacies of family businesses in India, shedding light on their challenges, successes, and evolving strategies.
"A rising trend of female involvement is observed, particularly in managerial roles. While 40 per cent of family businesses have women as owners, the majority (54.7 per cent) have female members actively managing the business. Female representation at the CEO and senior leadership levels remains limited," the report said.
SPJIMR's Centre for Family Business & Entrepreneurship report draws on a profound analysis and extensive surveys involving 357 family businesses from 17 cities across India. It provides a detailed exploration of the core attributes of Indian family businesses, with particular emphasis on small and medium-sized enterprises (SMEs).
The report reveals that family businesses in India predominantly consist of micro and small enterprises, significantly contributing to the nation's business landscape. Notably, 83 per cent of manufacturing businesses were micro or small, compared to 73 per cent in the service sector. This highlights the prevalence of smaller-scale enterprises among the family businesses surveyed.
"The study underscores the critical role of family businesses in India's economic landscape. It provides valuable insights into their contributions and challenges, reaffirming the resilience of these enterprises," Varun Nagraj, Dean of SPJIMR, said.
The report further underlines that generational involvement remains significant, with the first and second generations actively participating in 70 per cent of the businesses surveyed. Family ownership and control are paramount, with 51 per cent of enterprises reporting 100 per cent family shareholding, emphasising the closely held nature of family businesses in India.
It also highlights the digitalisation journey of family businesses. While approximately 25 per cent of family businesses prioritise digital and new technologies, the majority are embracing online sales for diverse reasons. Notably, SMEs exhibit intriguing preferences regarding digitalisation timing and methods, including their choice of e-commerce platforms, marketing strategies, and future online sales initiatives.
Also Read: 'Sit down Madam': Shiv Sena MP schools US Congresswoman Ilhan Omar over India-Canada remark