(Singapore, 02.04.2025) The 2025 EY and University of St.Gallen Global 500 Family Business Index reveals that the world’s 500 largest family-owned businesses generate a staggering US$8.8 trillion in revenue, employing over 25 million people across 44 jurisdictions. This collective economic powerhouse ranks as the world’s third-largest economy by GDP, trailing only the United States and China.
The report, which sees a 10% increase in revenues from the 2023 index, underscores the pivotal role of family enterprises in driving global economic growth. Europe remains the dominant hub for these businesses, hosting nearly half (47%) of the entities. North America and Asia follow with 29% and 18% of the companies, respectively.
Southeast Asia’s Prominent Role
In Southeast Asia, 17 family businesses have made it to this prestigious list, marking significant contributions to the regional economy. These enterprises are spread across Indonesia, Malaysia, the Philippines, Singapore, and Thailand, collectively generating over US$146 billion in revenues—an increase from US$119 billion in 2023—and employing close to 875,000 people.
Low Bek Teng, EY ASEAN Family Enterprise Leader, commented on the resilience and strategic growth of these enterprises: “Family enterprises have been the backbone of ASEAN’s economy over the past decades. By reinvesting a significant portion of their profits, these families ensure long-term and sustainable growth. It is crucial for them to navigate global geopolitical risks and leverage technological advancements like artificial intelligence.”
Growth Through Mergers and Acquisitions
The index also highlights that nearly half of these top enterprises have engaged in mergers and acquisitions (M&A) in the past two years, with 34% of these transactions exceeding US$250 million. This strategy remains a cornerstone for growth and capital strategy, allowing these businesses to capitalize on opportunities and maintain competitive edges.
Lauri Oinaala, EY EMEIA Family Enterprise and EY Global NextGen Leader, emphasized the strategic advantage of these businesses: “It’s remarkable how these leading family enterprises shape their future amid market disruptions. Their long-term vision, combined with agility and an innovative approach, enables them to seize strategic opportunities and navigate periods of slower growth.”
Legacy and Longevity
The report reveals that 34% of these family businesses boast a legacy extending beyond 100 years, with 85% operating for more than 50 years. Notably, a Japan-based company has been in operation for over 400 years, and two European companies have surpassed the 300-year mark.
Thomas Zellweger, Professor at the University of St.Gallen’s Center for Family Business, highlighted the adaptability of these enterprises: “Family-owned businesses have a remarkable ability to adapt and thrive in dynamic environments. Their focus on long-term survival, combined with efficient and conservative financing practices, sets them up for continued success.”
The findings from the 2025 Global 500 Family Business Index not only illustrate the vital role of family enterprises in the global economy but also their resilience and adaptability in facing modern challenges. As these businesses continue to evolve, their impact on global and regional economies promises only to increase.
