. From the perspective of modern enterprise management, the Western "group structure" is dominated by the "rule of law", with clear responsibilities and rights, and an emphasis on the spirit of contract, which is conducive to the formation of efficient and stable enterprise organizations; while China's "differential order structure" makes Chinese family businesses tend to be "ruled by people", with vague personal responsibilities and rights, and rely more on trust, friendship, and loyalty as the driving force and lubricant for business operations.
For this reason, many voices in the industry and academia have criticized the management level of Chinese family businesses for being backward. However, from a broader perspective, this criticism is overgeneralized. Different management styles have their own causes and advantages. They are suitable for different stages and situations of the enterprise, and there is no absolute advantage or disadvantage. Chinese family businesses do not need to belittle themselves, but they need to recognize the advantages of their own characteristics, and they need to make active adjustments and make use of their strengths to offset their weaknesses as the business develops.