The Inheritance and Development of Modernization of Chinese-Style Family Sanitary Ware Enterprises

Sanitary family businesses exist and develop in a large number of countries around the world, playing an important role in economic development and employment. With the coming of the peak period of replacement of bathing companies, family business inheritance issues have become the focus and hotspot. Taking a look at the Chinese and foreign models of the inheritance of sanitary enterprises, Zi Cheng’s father is still the preferred mode of transition for many sanitary companies.

Although family businesses once disappeared in China, "familialism" and "universalism" have never left China, even during the period when the planned economic system is at its peak, but in a disguised or hidden way. Form exists. Once family-owned enterprises have enough policy soil, they quickly become the mainstream model for the establishment of sanitary ware enterprises. Moreover, the significance of family-owned enterprises is not limited to this, and its emergence makes it necessary to re-examine the modern significance of China's traditional social economic system. First of all, China's family-owned companies are not exotic goods and have experienced long-term growth, growth and decline in China. The “family companies” themselves are composed of “family” (social organization) and “enterprise” (economic organization), and they are of the same family. The actual operation mode and the in-depth description of the economic and social environment in which this economic organization depends on to survive, grow, and develop, how to face the embeddedness of this economic organization. In fact, in the absence of an in-depth understanding of the family system and family businesses, it will be difficult to accurately grasp the development of the Chinese economy, especially corporate organizations.

Modern management has given sufficient attention to and relentless research on the replacement of corporate leadership for a long time. The new corporate leaders have successfully accepted the important tasks of the company’s operations from their predecessors and ensured the sustainable development of the company and the harmony between personnel. It is not easy. For family businesses, the succession is far more than the withdrawal of the old leader of the general company and the entry of new leaders. The whole process of intergenerational transmission needs to be applied to the development principles of ownership, family and company, so its leaders His succession shows unique complexity, and the impact will be more extensive. The problem of succession faced by general enterprises is a "robbery" for family businesses. Since any company has a growth cycle that grows from small to strong and weak, only a few generations of entrepreneurs have to go forward and make unremitting efforts. It is possible to accumulate valuable material and spiritual wealth for a great company, so the success of succession is not only critical to the survival of the family business, but also crucial to its long-term growth.

Sanitary companies have gradually entered a new generation, and the first generation of successful entrepreneurs are quietly retiring. What attracts attention is that several sanitary companies that have developed to a certain scale have begun to transfer their business tasks to the second generation. One of the characteristics of the transfer of these companies' tokens is that the successor is the son of the company's founder. Regardless of whether the company belongs to a strictly family business, and whether the proportion of non-family members among senior management personnel accounts for a large proportion, the phenomenon that the main leaders of the company “subsidiary fathers and fathers” is among the small and medium-sized enterprises. The replacement of large and medium-sized enterprises is mainly based on the collective succession of senior management with the original entrepreneur's immediate family as their core. The majority of these senior managers are insiders of the original company, although these enterprises are no longer strictly family businesses. However, they still accomplish intergenerational succession through internal personnel succession. This kind of succession model of "sub-fathering father" can be traced back to the time when human beings appeared at home. For parents, the best way to perpetuate their hopes and dreams is to pass on the careers that they have been engaged in and create for their children and inherit it from generation to generation. This is human nature.

The ownership structure of family businesses varies, but the starting point for their development is nothing more than three: an owner-controlled company; a brother-sister partnership; a cousin-sister-affiliated company. These ownership structures greatly influence the way companies and families/family operate. The development of this family through the study of various conditions such as marriage, parental responsibilities, adult children, in-laws, and intercourse methods has enabled us to understand the structure of the family and the development of the individual as a “parent”. Succession mode is not unique nor optimal. In theory, there are two common ways for sanitary companies to choose their successors: one is internal training, that is, training their sons to take over; the other is external search, that is, looking for professional managers from outside the company. From the perspective of ability, the external search is stronger than the internal training, because the external selection space is relatively large, the probability of choosing a professional manager with strong ability is higher; and the inbreeding is prone to shrinking phenomenon. However, professional managers have many obstacles to the management of family businesses. The first is the legality of management. Since professional managers do not own corporate shares, they are not business owners. Unless they have abnormal management capabilities, corporate employees may find it difficult to generate a sense of identity due to emotional or other reasons, resulting in management failures; and business owners’ intervention and The intervention further constrains professional managers and makes their capabilities impossible to fully display. Followed by the issue of the ability to determine. In a family business, the ability of a son is relatively easy to determine, while the professional manager's ability requires further understanding. In the free choice to become an entrepreneur, capital owners with higher operating capabilities will be winners. Because the capital owner wants to be an entrepreneur, he will be more honest, credible, dedicated, and diligent. In contrast, a person with nothing but more enthusiasm will lie about his business ability and engage in excessive investment. Ownership is the main obstacle to the management failure of professional managers in family businesses. It is also a deep-seated factor that determines the success of family businesses in finding successors. This leads to the conclusion that capable heirs to successors are the most effective for family businesses. System choice.

The process of the Chinese family-owned enterprises advancing from the first generation to the second generation will present a variety of results. From an efficiency perspective, there is no difference between family business and non-family management. There are no better ways to choose whether to succeed with a son or a professional manager. Most entrepreneurs will seek as much as possible between the "pro (reliable)" and "excellent (capable)" dimensions. Good Pareto optimal combination. At the same time, we must also admit that the "sub-fathering father" or "sub-fathering father" model extrapolated from the differential order pattern is the mainstream model of succession for Chinese family-owned companies. It truly absorbs and integrates human capital completely with universalist rules. It may be a relatively long process in China, and it may not become a universal model for the behavior of Chinese corporate organizations.

At this stage, it should focus on the premise that the ownership and management rights continue to be controlled by the family, how to successfully complete the continuation and innovation of corporate token handover and management. With the new generation of entrepreneurs gradually taking the battle and more career management personnel entering the company's middle and senior management positions, a kind of family-controlled management innovation will inevitably follow, and the management culture of the company will gradually change. Due to the complexity of the business environment, due to various special circumstances of the company, family or family, the ownership structure, organizational design, and management model of the family business in the new era will appear in various specific forms.