The family business is the oldest business model in the world , and it is also the major business model in Taiwan. When the scale of family busi-ness is small at the beginning, the founder of the business determines all the important decisions within the enterprise and the rest of family mem-bers share the responsibilities and obtain different positions in the enter-prises. The family members work and manage the enterprise together and form the basic management structure of the family business. However, when the scale of the enterprise grows bigger and has to start dealing with international business and trading, the structure of the enterprise became more complex and there will be more professionals who is not family member involving in the enterprise management. Moreover , the founder will face the issues of choosing the next enterprise leader. The founder must decide whether it is more appropriate to hire professional manage-ment crews to work in the enterprise or choose from the second genera-tion family members to sustain the high performance while inherit the original concept of the enterprise. The Chinese family business is different from western family busi-ness ,and the Taiwanese family business even has some significant char-acters. This research takes two paths of research methods which are con-ducting interviews and collecting related data for analysis. The researcher interviews the family member and non-family members who work in the enterprises and conduct a crossover analysis. The research also studies the management issues of the family business from the following three different viepoints:intermationalization, firm performance,and inheritance.
