Banking for Family Business

Blurb

A proactive segmentation model is offered to explain the dynamics and progress of services provided and markets serviced within family-owned businesses. A product system analysis of six product industries is discussed, highlighting the product-oriented approach. In the market-oriented approach, product industries are assessed through features of competitive forces, in which supply functions of banks and financial intermediaries are of main concern. Market identification, another aspect of the proactive segmentation model, involves ex ante and ex post features for the segmentation process (e.g., process of proactive mapping and organizational choices concerning the competitive supply strategy used for SMEs). Different contextual situations are offered to explain the various stages involved in corporate and family businesses. Utilization modes are thoroughly examined and impacts of each mode on certain phases are highlighted. These modes, which are involved in market positioning, can help define the product industry and assist banks in deciding what resources and competencies are necessary for supply processes.(NEE).