In the past few decades there has been a drastic increase in the family .
Today our economy has progressed to the point where" the .
entrepreneur is the most important player in the building of the global economy" .
(Naisbitt, 80). To run a family business is a challenging process and every .
person needs different skills to overcome the start-up struggles. As Gersick .
suggests in "Generation to Generation", family business can be understood .
through a three circle model. The model describes the family business system as .
three independent subsystems; ownership, business and family (Gersick 1997, .
pp.6) (See Appendix A). These three different dimensions have different values, .
responsibilities and structures. The ownership aspect deals with different forms .
of family ownership. Another dimension is family which encourages family .
members to enter the business and pass the business to next generations. The .
third aspect is business, which describes the different stages that the business .
passes through in order to be successful (Gersick, 1997). Through the three .
circle model every owner can have a better understanding of running a family .
business.
Family Issues .
In the family business cycle one of the most important issues that family .
members need to address is how to deal with the change within the family .
business. Some issues include entry of family members into the business, which .
can lead to confusion and the struggle for recognition (King, 2001). In the stage .
of entering the business, parents and children need to clarify whether the .
business is really what the young generation wants. In today's, world there are .
many different choices and decisions that the young and old generation can .
make. For example future generation may have already established career .
interests that differ from their parents and they may not be interested in working .
or carrying the family business (Avila, 2003). In the article "Transfer of the family .