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19 February، 2020
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19 February، 2020
The Arab world is home to many family businesses, even though commercial laws and regulations do not recognize this term. Examples include sole proprietorships,
public joint-stock companies, and limited liability companies.
However, commercial law in most Arab countries does not recognize a designation of this kind. Although “family businesses” exist in practice,
they have not yet taken on a definitive legal form.
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What Is a Family Business?
There are many definitions we could cite to define these businesses. For example, businesses are defined as
A family business is one that is wholly owned by a single family, one in which a single family controls the voting power, or one where
decision-making is reserved exclusively for members of the owning family.
Although there is no single, definitive definition of this type of business, according to a 2009 study by researcher Agle and colleagues, it is
the most widespread form of business around the world.
In any case, family-business researcher Handler argued that a family business is an organization whose important operating decisions and plans for succession are influenced by
Leadership by family members who manage the company or, at the very least, serve on its board of directors.
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Do these companies have a social responsibility?
Despite the major role played by many large companies with clearly defined legal status, and despite their established position, they have not
been able to eliminate these so-called family businesses or replace them.
For this reason, large companies have decided to cooperate with these family-run businesses and make use of their presence—especially since they contribute effectively
to reducing unemployment and ensuring the private sector continues to exist and does not collapse.
Moreover, these companies help ensure a minimum level of competition, preventing any one company from monopolizing or controlling the market.
على الأسعار.
Based on the foregoing, it is fair to say that family-owned companies play an important role in social responsibility. Indeed,
this is the path we should dedicate these companies to and make the most of their presence in.
Viewed with the future in mind, every family-owned company is a major enterprise, and perhaps a global one. It is therefore right to support these companies and provide the legal environment
that suits them, so they can operate without obstacles.




