Extraordinary Endeavors in Turbulent Times: Asian Innovation, Inclusion, and Impact during COVID-19

7 ASIABUSINESSCOUNCIL HONGKONGUNIVERSITYOFSCIENCEANDTECHNOLOGY Editorial Insights: How Family Business Traits Helped Companies Adapt and Thrive During the COVID-19 Pandemic Resilience Resilience is another trait that is common among longstanding family businesses. The typical age of these businesses means that they have gone through numerous trials, tribulations, and crises. Their very survival over the times has made them more resilient. Ayala Corp, for example, started in the 1830s and is a prime example of a business that has survived by innovating and adapting. It is interesting to note that these businesses also exude the confidence and flexibility to roll out short-term plans that can be easily converted to long- term gains, thereby turning a crisis into an opportunity. DatVietVAC is a case in point. In light of the pandemic, it plans to grow its media business by acquiring companies that complement its existing platforms, consolidating its role as a cultural trend setter. Yet another reason why family businesses can withstand risk and volatility is because they tend to be more conservative. Most family businesses in Asia regulate their business sizes as a self-defence mechanism to withstand external shocks. In good times, they would be less likely to over-borrow and often make sure there is enough cash and assets on hand. Dire times are seen as a good time to complete any mergers and acquisitions or roll out strategies that might have been in the pipeline. This was certainly the case for the Lotte Group. Its Lotte On app was two years in the making but its launch was accelerated because the pandemic caused such a surge in online shopping in South Korea. Giving back to society Finally, of all the character traits of Asian family businesses, philanthropy is perhaps themost common. In fact, philanthropy could be classified as a defining characteristic of family businesses during times of crises. In our study, all the companies, without exception, made generous contributions to the societies in which they operated. There is a long tradition of giving inAsia, which is deeply rooted inConfucianism and Buddhism. Asian family businesses highly value these values and see philanthropy as a way to preserve family legacies across generations. Actively engaging family members in philanthropic efforts can help enhance family harmonywhile having positive social impact. They are also able to do this thanks to the financial strength they have built over the years.