Long-term Strategy & The Mittelstand - Sennheiser

The Mittelstand - Germany's group of thousands of privately-owned and often world-beating companies - is often used as an example of the benefits of long-term business thinking.

This short video about a business that will be familiar to many students - Sennheiser- is a great example of the kind of businesses that make up the Mittelstand.

Lots of evidence in the video about the common characteristics of Mittelstand companies that adopt a very different approach to a "short-termist" strategy that is more focused on short-term financial performance.

• Mittelstand companies are said to typically exhibit:
• Family ownership or family-like corporate culture
• Generational continuity
• Long-term investment focus & focus on R&D
• Fierce independence
• Investment into the workforce
• Flexibility in how they respond to a changing external environment
• Lean organisational hierarchies
• Focus on innovation and customer service
• Take corporate social responsibility seriously

Which of these characteristics can students pick up just from the video?