German family firms face existential threat from climate-centric policies
Centuries-old German family businesses, once resilient through wars and industrial shifts, are now struggling under strict climate and degrowth measures.
German multigenerational enterprises have navigated wars, economic crises, and technological revolutions for over five centuries, exemplified by Coatinc Company in Siegen and Wiegand-Glas in Upper Franconia. Their success stemmed from a long-range outlook, employee loyalty, and gradual innovation, including renewable-energy integration. However, the author contends that contemporary climate-first policies and degrowth ideology are eroding the financial foundations of these firms, forcing closures such as Eichbaum brewery and insolvencies like Höfner and Eterna.
The analysis links this shift to a broader cultural move away from the Calvinist-Protestant work ethic that once underpinned German industry. It warns that the demise of the Mittelstand could undermine local economies and community stability.
Why it matters
The decline of Germany's historic family firms could reshape the national economy and local job markets.
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