Explain the role of the entrepreneur's spouse as it affects a family business and show how it can be made most effective if the spouse does not have an active part of daily operations.
What will be an ideal response?
The spouse's role is often described as mediator. The spouse occupies a unique position, with a strong concern for each member of the family. At the same time, the spouse sees the business with some detachment because he or she is not involved in its everyday operations. The task of creating harmony and minimizing misunderstanding is a major one.
The role can be made most effective if there is effective communication between the spouse and entrepreneur. The spouse must be informed about what is going on in the business.
Students should recognize, of course, that individual differences in personality affect the manner in which spouses carry out this role.
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