Family businesses have long served as a core driving force behind Taiwan’s economic development; however, they are now facing multiple challenges, including leadership succession, business transformation, and shifting industry landscapes.
The Wharton Taiwan Family Business Forum offered an in-depth analysis of the success strategies and competitive advantages of U.S. family businesses, while exploring the challenges and future opportunities facing Taiwanese family businesses. Through the cutting-edge perspectives of a world-leading business school, the forum aimed to inspire a new paradigm for Taiwan’s family businesses, ultimately driving the country’s financial modernization and economic growth.
Welcome Remarks
- Jason Koo President, Wharton Club of Taiwan & Chairman of the Board, Wharton Foundation of Taiwan
- David Swei Head of Wealth Management Business Group, CTBC Bank
As the forum’s host, Mr. Koo opened the event by noting that U.S. family businesses have accumulated profound experience in succession governance and wealth management over a century of development. He emphasized that through this forum, the Club aimed to foster Taiwan-U.S. exchange and introduce proven U.S. family business models to Taiwan – helping to strengthen the operational capabilities of Taiwanese family businesses and further enhance their global competitiveness.
Representing the largest privately owned bank in Taiwan, Mr. Swei shared the growing trend of clients shifting their focus from asset allocation to succession and family legacy. Citing a recent wealth insight report co-published by CTBC Bank and BCG, he underscored that while asset inheritance and family offices are top of mind, there remains a vast and untapped opportunity for families to move from awareness to actual implementation.
Keynote Speech 1: Strategies & Practices of Successful U.S. Family Businesses
- William H. Alexander Lecturer in Family Business Management, The Wharton School
Prof. Alexander, a 25-year Wharton faculty veteran and third-generation leader of a major U.S. construction company, brought a unique dual perspective to his keynote. He addressed why only 3% of U.S. family businesses survive to the fourth generation, identifying “family dysfunction” and lack of trust as primary hurdles. Prof. Alexander emphasized that successful legacy requires a triad of culture, resources, and governance, citing the 150-year-old J.M. Huber Corporation as a prime example of how professionalism, transparency, and education can sustain a family empire through six generations.
Keynote Speech 2: How a Successful Family Business Outperforms Its Competition
- William H. Alexander Lecturer in Family Business Management, The Wharton School
Prof. Alexander further emphasized that family businesses can secure a sustained competitive advantage by strategically developing and maintaining distinctive resources. He noted that compared to public corporations, successful family businesses are uniquely positioned to cultivate certain assets – such as reputation, employee commitment, and a network of relationships – more easily. Ultimately, a family business with a strong culture can outperform public corporations by leveraging these resources to drive long-term competitive advantage and create multi-generational wealth.
Panel Discussion: Challenges & Opportunities for Family Business in Taiwan
- William H. Alexander Lecturer in Family Business Management, The Wharton School
- John Yang Head of Private Banking Division, CTBC Bank
- Sharon Weng Managing Director & Partner, Boston Consulting Group
- Moderator: Jennifer Lee Executive Director, Wharton Foundation of Taiwan
The panel discussion shifted the focus to the unique landscape of Taiwan. Mr. Yang observed that for Taiwanese family businesses, successful multi-generational succession requires proactive planning, robust communication, and strategic agility. Providing a global lens, Ms. Weng highlighted the rising demand for international asset strategies and governance frameworks that align global growth with long-term stability.
Alexander contrasted distinct cultural differences between the U.S. and Taiwan, particularly regarding family dynamics and business-government relations. He suggested Taiwanese businesses adapt accordingly; however, any family business reaching the fourth generation – regardless of culture – relies on the same fundamental core: trust. Specifically, future generations must understand how to reach collaborative solutions to conflict amicably and diligently.
The forum was hosted by the Wharton Club of Taiwan and CTBC Bank – Taiwan’s largest privately owned bank – and organized by the Wharton Foundation of Taiwan. It brought together nearly 100 distinguished guests, including Taiwan’s family business leaders, second-generation successors, and industry professionals. The half-day event provided a platform for meaningful dialogue, enabling guests to exchange insights and best practices on successful wealth management and multi-generational succession.
