Many Indian mid sized businesses are Key Person run. A generation ago, when lack of opportunities meant that children would fight over the business, the danger was Ambani style conflicts. However, now there is a more insidious problem. Children of Key Person running promising businesses get into other fields and don't want to run these businesses. This is especially true of traditional businesses not involved with software. The lack of trusted and professional managerial class, and dependence of family to run businesses is a serious problem in scaling India's businesses and making them resilient over the long term.
Underneath the analytics and the commentary, there is a clear love for India. Keep writing. Your Substack is can’t miss reading for me every Wednesday. Well done.
Many Indian mid sized businesses are Key Person run. A generation ago, when lack of opportunities meant that children would fight over the business, the danger was Ambani style conflicts. However, now there is a more insidious problem. Children of Key Person running promising businesses get into other fields and don't want to run these businesses. This is especially true of traditional businesses not involved with software. The lack of trusted and professional managerial class, and dependence of family to run businesses is a serious problem in scaling India's businesses and making them resilient over the long term.
Underneath the analytics and the commentary, there is a clear love for India. Keep writing. Your Substack is can’t miss reading for me every Wednesday. Well done.