Q.1 What does one mean by Family Business ? Ans : Family Business refers to a company /firm where the majority voting rights are in the hands of the controlling family; including the founders who intend to pass the business to their descendants. Q.2 What are the strength of Family Business ? Ans : Several studies have shown that family-owned companies outperform their non-family counterparts in terms of sales, profits, and other growth measures. 1.Commitment . The family—as the business owner—shows the highest dedication in seeing its business grow, prosper, and get passed on to the next generations. As a result, many family members identify with the company and are usually willing to work harder and reinvest part of their profits into the business to allow it to grow in the long term VCS TIP - We have observed that the commitment level keeps on reducing as the generations pass unless something concrete is done to maintain such high levels of Commitment 2.Knowledge Continuity.