Did you know that the oldest operating business in the world was founded in the 6th century? That makes it over a thousand years old!
Headquartered in Osaka, Japan, Kongo Gumi is a construction company that was founded in 578 A.D that specialized in building temples and shrines for local nobility. A family owned and operated business, it stayed family owned for 15 centuries before finally being bought by the Takamatsu Construction Group in 2006. In an age where publicly traded companies have an average life-span of around ten years, Kongu Gumi stands out as an incredible example of longevity in business.
A thousand-year-old business is unique but there are many companies today that have lasted well over a century and are still going strong. Unfortunately, they are also fast becoming the exception. Research shows that fifty years ago the average lifespan of a Fortune 500 company was 75 years. Today, it is 15 years and declining.
How many of these companies do you recognize? – Armstrong Rubber, Cone Mills, Hines Lumber, Pacific Vegetable Oil, Riegel Textile. None? These are all Fortune 500 companies that were publicly traded less than sixty years ago. Here are some other names you are definitely familiar with – UPS, L.L. Bean, Kraft Foods, Kellogg’s. Every one of these businesses is well over a century old. Why do these companies find success when more modern organizations fail? It’s not a lack of competition (There are plenty of popular retailers and cereal brands). Neither is it about the uniqueness of their product (Can you really tell the difference between a Pepsi and a Coke?).
What c