In this week's reading, Chapter 4: Predictable Conflicts at Intersections, discussed the conflict dynamics that exist within the family business in relating to family, property, and management, also known as the three circles model. This model arises from a breakdown of two key elements: business, management and ownership. When the family is combined with the business it is very likely that the paradoxes arise from one of the three circles and the conflict becomes and the paradoxes become more complex because the three circles are so closely related and dependent on each other . According to the reading, a problem or situation that reflects perplexity or difficulty is the result of underlying conflicts. Underlying conflicts are real or perceived oppositions between needs, principles and/or interests. Contradictions are competing points of view, which give rise to the paradoxes the business faces. (Schuman, A., Stutz, S., & Ward, JL 2012, p. 78) The conflicts resulting from this model are separated into three categories by the authors which are family management conflicts, family ownership conflicts and management conflicts. -owner conflicts. Conflicts related to family management would include family employment, family members' compensation and benefits, retirement age, leadership succession, and family decision-making. (Schuman, A., Stutz, S. and Ward, JL 2012, p. 80) Conflicts between management and ownership would include board composition, distributions and dividends, risks and growth targets , family redemption or liquidity and transparency of personal inheritance plans and financial stability. (Schuman, A., Stutz, S. and Ward, JL 2012, p. 83) Family-property conflicts would include stock ownership, family meeting agendas, owner success...... middle of paper.... ..g was very organized, detailed and easy to follow. The examples in the graphs for each of the three circles paint a very clear picture for the reader. This chapter shows very clearly that paradoxes can have different origins and that they must be classified correctly in order to adequately manage the paradoxes. The authors put it best: "The most effective way to deal with these problems is to analyze the conflicts associated with them for inherent contradictions, then dig deeper, looking for the primary underlying paradox, and ultimately , to address the paradox with strong governance instruments. » such as policies, rules or values), including the use of a family constitution. (Schuman, A., Stutz, S. and Ward, JL 2012, p.90) Reference: Schuman, A., Stutz, S. and Ward, JL (2010). The family business as a paradox. New York, New York: Palgrave MacMillan.