Corporate India is still a family affair
Corporate India, which has grown globally in stature, is still a far cry from the professional management as family-owned monoliths in the country still prefer insiders and relatives over better qualified outsiders and squabble unproductively, says US magazine Newsweek.
Commenting on the bitter battle between Ambani siblings, the publication said in its latest issue that the feud further underscores the need for the businesses to outgrow from their mostly family-run setups.
Pointing out that Indian firms have been growing in competitiveness globally, the magazine said that conventional wisdom has also been that sub-continental powerhouses are getting sophisticated.
Newsweek cited the recent merger of country’s largest drug maker Ranbaxy Laboratories with Japanese pharma major Daiichi Sankyo as an example.