Family businesses and corporate governance in the Middle East
A key business demographic in the Middle East are family businesses. However, various factors like increased competition, a global economy that is going through turmoil, reduced or more expensive credit facilities, the call for greater transparency and, in some countries, greater regulation have caused family businesses serious difficulties. The latter are not able to change these factors, which are mostly beyond their control. What they can do, on the other hand, is to improve their corporate governance. Generally, corporate governance is defined as structures, policies, plans and regulations which determine the way the management of an entity will function.