Nearly Half of Indian Family Businesses Report $1-30 Billion Revenue with 53% Adopting AI, Deloitte Reports

Economic Times
Economic Times
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Indian family businesses show robust revenue growth, high AI adoption, and strong ESG focus, with active expansion plans.
Nearly Half of Indian Family Businesses Report $1-30 Billion Revenue with 53% Adopting AI, Deloitte Reports
A What happened
Deloitte's 2025 report reveals that nearly half of Indian family businesses generate $1-30 billion in revenue, with a notable 36% in the $1-5 billion bracket. Leadership remains predominantly family-based, with 51% being second-generation firms investing heavily in succession planning. The sector benefits from rising professionalization and technology adoption; 53% use AI, and 46% invest in broader innovation efforts like generative AI. Sustainability and governance commitments involve 76% of firms, emphasizing social responsibility and inclusion. While women hold more than 10% of board seats in 73% of these firms, gender parity remains limited. Expansion plans are robust, focusing primarily on the Asia Pacific region, then North America and Europe. This dynamic illustrates Indian family businesses' growing role in the national economy and global markets.
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Key insights

  • 1

    AI Adoption as a Competitive Differentiator: Indian family businesses' above-average adoption of AI signals a strategic shift toward technology-led efficiency gains and innovation, positioning them for stronger resilience amid economic uncertainties.

  • 2

    Succession Planning Underpins Longevity: The prevalence of second-generation leadership highlights a focus on continuity and governance adaptation necessary for sustaining growth and navigating market complexities.

  • 3

    Growing ESG Integration Reflects Broader Stakeholder Expectations: High commitment to environmental, social, and governance issues among these businesses suggests an alignment with global sustainability trends, impacting investor relations and regulatory compliance.

Takeaways

Indian family businesses are evolving into professionally managed, technology-forward enterprises with robust growth strategies and sustainability commitments, shaping India's economic future.

Topics

Business & Markets Economy World & Politics Policy & Regulation Strategy