A Comparative

Study of Overseas

Chinese and

Jewish Diaspora

Family Owned

Businesses

Roger King, PhD

Adjunct Professor of Finance

Director of Center for Asian Family Business Studies

Director of Center for Business Case Studies

Winnie Peng, PhD

Assistant Adjunct Professor of Finance

Associate Director of Center for Asian Family Business Studies

Associate Director of Center for Business Case Studies

Our Research Objectives

Our research examines the similarities and differences

between the Overseas Chinese and Diaspora Jewish family

businesses.

Both face hostilities/prejudices within their host country or

are surrounded by hostile nations and yet each has been

able to thrive economically and politically.

Presently, 14 million Jews have a much greater influence

over global affairs than 40 million Overseas Chinese. The

issue is why?

Given an increasing economic and geopolitical presence of

the People’s Republic China in the coming decades, will the

Overseas Chinese and their family businesses have the

same or greater global influence as the current ethnic

Jews? 2

Our Research Objectives

(continued)

Our research is still in “work-in-progress”

state. Sadly, there is not much

research/information on Jewish family

businesses. Thus, our objectives of this trip

(my first trip to the Holy Land) is to a) find

more information on Jewish family

businesses and b) to seek potential

research collaborators

3

Definitions

Jewish: a person who was born of a Jewish

mother or has become converted to Judaism and

who is not a member of another religion

Overseas Chinese: a person of Chinese birth or

descent who lives outside the People's Republic

of China and Taiwan

A family business is a company owned,

controlled, and operated by members of one or

several families

4

Geographic distribution -

Jews

Source: Total population, data from world bank, 2010. Jewish population, data from the Pew Research Center's December 2012 report "The Global Religious Landscape". Figures

are estimates for 2010.

43%

43%

3%

2% 2%

2%

2%

1% 1% 1%

Jews Distribution

Israel

US

Canada

France

U.K.

Germany

There are about 14 million Jews around the world. Jews are concentrated primarily in North America (46%) and the Middle East (43%). Israel is the only country with a Jewish majority (73%). (The Global Religious Landscape, Pew Research Center, 2012)

IsraelUnited

StatesFrance Canada

United

Kingdo

m

Russian

Federati

on

ChileArgenti

na

German

y

Australi

aBrazil

South

AfricaUkraine

Core Jewish population 5.76 5.70 0.48 0.39 0.29 0.19 0.19 0.18 0.12 0.11 0.10 0.07 0.06

Total population 7.79 316.20 63.94 35.30 64.30 143.50 17.60 41.30 8.06 23.10 195.50 53.00 45.50

Jews % of total population 74.014% 1.803% 0.743% 1.092% 0.451% 0.130% 1.051% 0.439% 1.464% 0.487% 0.049% 0.132% 0.138%

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

50

100

150

200

250

300

350

Population of Jews and their % of total population in host countries (Million)

Geographic distribution –

Overseas Chinese

There are around 41.78 million overseas Chinese worldwide. The Chinese American community is the largest overseas Chinese community outside of Asia. It is also the fourth largest in the Chinese diaspora, behind the Chinese communities in Indonesia , Thailand and Malaysia (Overseas Communities Council, Taiwan, 2013).

73%

19%

4% 3% 1%

Overseas Chinese Distribution

Asia 30.656

America 7.903

Europe 1.696

Oceania 1.129

Africa 0.401

Indones

ia

Thailan

d

Malaysi

aUS

Singap

oreCanada

Philippi

nes

Myanm

ar

Vietna

mPeru

Australi

aJapan Russia France UK Brazil Italy Korea

Lao

PDR

New

Zealand

Chinese 8.12 7.51 6.78 4.24 2.83 1.56 1.41 1.06 1 0.99 0.87 0.68 0.47 0.46 0.42 0.28 0.2 0.18 0.15 0.15

Total 253.6 67.01 29.72 316.1 5.399 35.158 98.394 5.326 89.709 30.376 23.13 127.339 143.5 66.028 64.097 200.362 59.831 50.219 6.77 4.47

% 3.20% 11.21% 22.81% 1.34% 52.42% 4.44% 1.43% 19.90% 1.11% 3.26% 3.76% 0.53% 0.33% 0.70% 0.66% 0.14% 0.33% 0.36% 2.22% 3.36%

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

0

50

100

150

200

250

300

350

Overseas Chinese and their % of total population in host countries (Million)

Top 10 Jewish billionaires (Forbes 2015)

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Name Age Net Worth

(US billion)

Country of

citizenship

Source Years in

Business

Position

Larry Ellison 70 54.3 US Oracle 38 CEO and co-founder

Michael Bloomberg 73 35.5 US Bloomberg 34 CEO and co-founder

Mark Zuckerberg 30 33.4 US Facebook 13 Chairman and CEO, co-

founder

Sheldon Adelson 81 31.4 US Las Vegas Sands 27 Chairman and CEO

Larry Page 42 29.7 US Google 17 CEO and co-founder

Sergey Brin 41 29.2 US Google 17 Director of Special

Projects and co-founder

George Soros 84 24.2 US

Soros Fund

Management LLC 45 Founder

Carl Icahn 79 23.5 US Icahn Capital

Management 30 Founder

Steve Ballmer 59 21.5 US Microsoft 34 CEO (not founder)

Michael Dell 50 19.2 US Dell 31 Chairman and CEO

Average Age:

60.9

Average wealth:

30.19 Average: 28.6

Top 10 ethnic Chinese billionaires ex. Hong Kong (Forbes 2015)

8

Name Age Net Worth

(US billion)

Country of

citizenship

Source Years in

business

Position

Henry Sy 90 14.2 Philippines SM (Diversified) 57 Chairman and founder

Dhanin Chearavanont 75 13.6 Thailand CP Group(Food) 62 Chairman

(2nd generation)

Charoen

Sirivadhanabhakdi 70 13.2 Thailand TCC (beverages) 55 Chairman and founder

Patrick Soon-Shiong 63 12.2 US Pharmaceutical 18 Founder

Robert Kuok 91 11.3 Malaysia Diversified 68 2nd generation

Robert & Philip Ng 63 9.6 Singapore Sino (real estate) 45 Chairman

(2nd generation)

R. Budi Hartono 74 9 Indonesia banking, tobacco 52 2nd generation

Michael Hartono 75 8.7 Indonesia banking, tobacco 52 2nd generation

Goh Cheng Liang 88 6.8 Singapore Nipsea (Paints) 70 Founder

John Gokongwei, Jr. 87 5.8 Philippines JG (Diversified) 55 Founder

Average age:

77.6

Average wealth:

10.4

Average:

53.4

Top 10 ethnic Chinese billionaires (Forbes 2015)

9

Name Age Net Worth

(US billion)

Country of

citizenship

Source Years in

business

Position

Li Ka-shing 86 33.3 Hong Kong CKH

(conglomerate) 75 Chairman and founder

Lee Shau Kee 87 24.8 Hong Kong

Henderson

(conglomerate) 57 Chairman and founder

Thomas&Raymond Kwok 63 15.9 Hong Kong SHK Properties 40 2nd generation

Cheng Yu-tung 89 144 Hong Kong conglomerate 45 Chairman and co-founder

Henry Sy 90 14.2 Philippines SM (Diversified) 57 Chairman and founder

Dhanin Chearavanont 75 13.6 Thailand CP Group(Food) 62 Chairman

(2nd generation)

Lui Che Woo 85 13.5 Hong Kong Casinos 65 Chairman and founder

Charoen Sirivadhanabhakdi 70 13.2 Thailand TCC (beverages) 55 Chairman and founder

Patrick Soon-Shiong 63 12.2 US Pharmaceutical 18 Founder

Robert Kuok 91 11.3 Malaysia Diversified 68 2nd generation

Average age:

81

Average wealth:

29.6

Average:

54.2

Overseas Chinese dominate the top 10 richest in

their respective host ASEAN countries

Indonesia – 7

Thailand – 8 (more difficult to identify due to near

total assimilation. Even the current royal family is

part ethnic Chinese)

Malaysia – 8

Philippines – 6

43% of the 30 richest in United States are Jewish

10

Similarities:

Hard working (out of necessity for survival)

Frugal and thrifty

Importance of (higher) education for the benefit of

future

Notion of my “bag is packed” mentality – prefer

liquid assets ex US

Economic success in host countries

Hostility - disliked by host society

Importance of family unity and continuity

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Similarities (continued)

Clannish and resistance to assimilation

Male orientation in inheritance

Survival driven

Dependence of Diaspora network

Developed great economic power enabling

the use political influence/bribery to

protect their interests

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Differences:

Notion of homeland or sojourners (Chinese)

Dialectic bondage with kinship organizations 同鄉會 (Chinese)

Active/direct participation in local politics (Jewish

- especially in US)

Individualism (Jewish) vs. collectivism (Chinese)

Religion bondage (Judaism) vs. cultural bondage

(Confucianism)

Meritocracy (Jewish) vs. birth order (Chinese) in

inheritance practice

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Differences (continued):

Patriarchal (Chinese) vs. open dialog (Jewish) in

decision making

Developed (Jewish) vs. emerging or developing

(Chinese) economies

Control or dominate significant and important

industries in US – Financial Services, Technology,

Media and Real Estate (Jewish)

Global achievers: At least 193 (22%) Nobel Prize

winners are Jewish vs. 11 for ethnic Chinese

Cumulated wealth of Jewish billionaires vs. Overseas

Chinese billionaires US$30.2 vs. US$10.4 – also

younger 60.9 vs. 77.6 and tend to be founders

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Observations:

Today, why 14 million Jews have a much greater influence over global affairs than 40 million Overseas Chinese?

Western domination of the globe over the past 2 centuries

Notion of developed vs. emerging/developing economies

In US, most Overseas Chinese are late arrivals (1980’s) – early waves are mostly labors

Difficulties in assimilate in developed economies for Chinese – also notion of homeland

Limited involvement in politics and access to certain industries (personal experiences)

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Observations (continued):

Given the increasing economic and geopolitical presence of the People’s Republic China in the coming decades, will the Overseas Chinese and their family businesses have the same or greater global influence as the current ethnic Jews?

Notion of Asian Century – nation state vs. culture state (Martin Jacque)

Continual conflict between US and China (notion of containment and blue navy)

Territorial disputes especially in East and South China Sea

Not necessary positive for Overseas Chinese owned family business

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Thank you, תודה, 谢谢

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