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Affordability Issue Takes Center Stage in 2026 with Pricing, Profit Strategies Affecting Family-Owned Businesses
Policy and Taxation Group Renamed Family Enterprise USA Action, with Focus on Action, Engagement with Capitol Hill Lawmakers
Affordability continues to be top of mind among our lawmakers in Washington, D.C., and among family-owned business leaders.
Family-owned businesses tend to be more resilient and less dependent on short term gains than large corporation when it comes to navigating pricing, profit margins, customers, and community.
Yet, in an era of rising costs, inflation pressures, and heightened competition, many family-owned businesses face a common challenge: how to keep products affordable while sustaining profitability and investing in the future?
It’s a delicate balancing act requiring creativity, discipline, and a commitment to long-term value over short-term gains. If done well, it’s a competitive advantage.
But economic uncertainty remains a pressing concern. Navigating inflation, new tariffs, changing consumer buying patterns, and unpredictable interest rates keep family business leaders alert to the slightest changes.
It’s still too early to have any solid research going into 2026 on how family-owned businesses are responding to the affordability issue.
Right now, we’re conducting our own research on key issues affecting family businesses in our Family Enterprise USA 2026 Annual Family-Owned Business Survey. We’ll have the full results out in early April.
Also, on March 17, we’re having the year’s first meeting with Members of the Congressional Family Business Caucus hosted by FEUSA with the theme of “Profits and Pricing: Affordability Strategies for Family-Owned Businesses.”
At this Caucus meeting, family business leaders will present their many approaches to handling the affordability issue, including maintaining profits and investing in the future.
But CEO’s everywhere are being forced to rethink their businesses.
In last year’s EY-Parthenon CEO Outlook survey of 1,200 CEO it was found 7 in 10 “agreed they need to rethink their approach to transformation” due to geopolitical volatility, an uncertain economic environment, and the increased speed and scale of technology disruption. Yet, only about 66% said they have yet to make changes.
In PwC Global’s latest Family Business Survey, covering 1,325 family businesses, it found family-owned businesses prioritized stability and legacy preservation over aggressive growth.
This study said cost pressures and uncertain markets influenced operational choices, including pricing, investment, and profit decisions heading into 2026.
Other studies, like the 2025 Deloitte Private’s Global Family Business Insights Series, found family enterprises are adapting to affordability issues by scaling innovation and investing in technology, including AI.
A Bank of America Business Owner Report from late 2025 found inflation remains the top concern among small- and medium-sized business owners, with around 70% seeing it as their biggest challenge and many raising prices to offset increased costs due to inflation.
When I speak with family-owned business leaders about affordability there’s tension between raising prices to cover higher costs, while at the same time trying to stay competitive. Most see modest price increases for 2026 as inevitable.
But rather than chasing the lowest price point, many family firms are focused on sustainable value, that is, fair pricing, and a future built on loyal customers and sound financial health.
One example is “value-based pricing,” which emphasizes value over cost.
The trick here is to clearly communicate why products are worth the price. The higher price may be due to craftsmanship, sustainability, local sourcing, or superior customer service.
There is also the affordability strategy of “Tiered Product Lines.”
This is where multiple product tiers allow customers to choose what fits their budget. This can widen the customer base without diluting brand identity or core pricing strategies.
Some family businesses employ dynamic pricing, where prices are adjusted based on demand, seasonality, or inventory levels.
No matter what pricing, or margin, strategies are used it’s important to have open discussions about costs and profitability with staff. This builds a shared sense of responsibility and helps employees understand the financial constraints the family business is under. And, they are more likely to support cost-saving measures, price increases, and contribute ideas for improvement.
Advocacy with Family Enterprise USA Action
Since 1995, our sister organization, Policy and Taxation Group (PATG), has advocated on Capitol Hill for family offices, successful families, and family-owned businesses. It’s our vehicle for “taking action” directly with lawmakers, particularly on key tax and economic issues.
To reflect the importance of these actions on “The Hill,” PATG is being renamed in 2026 to Family Enterprise USA Action.
Family Enterprise USA Action will continue PATG’s focus on the tax and economic issues, including working to reduce and eliminate estate, gift, and generation skipping transfer taxes. At the same time, it will continue to block increased income and capital gains taxes, the creation of a wealth tax, and other tax policies that punish hard work and success.
In addition, Family Enterprise USA Action (FEUSA Action) will continue PATG’s 501(c)(4) organization status.
By aligning more closely with the educational and promotion work we’re doing with lawmakers through Family Enterprise USA, FEUSA Action makes it clear both organizations are fully aligned, advocating, and acting for successful families, family offices, and family-owned businesses in 2026, and beyond.
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The need for fact-based reporting of issues important to family offices and successful families and protecting a lifetime of savings has never been greater. Now more than ever, family offices and successful families are under fire. That’s why Family Enterprise USA Action is passionately working to increase the awareness of issues important to family offices and successful families, while continuing to strengthen our presence on Capitol Hill.
Family Enterprise USA Action engages with legislators on Capitol Hill on behalf of family offices, successful families, and family-owned businesses. It is focused exclusively on the critical tax and economic policies that impact them. Since 1995, FEUSA Action has been the leading advocacy group working daily in Washington, D.C., to reduce and eliminate estate tax, gift tax, and generation skipping transfer tax while blocking increased income and capital gains taxes, the creation of a wealth tax, and other hostile policies that punish hardworking taxpayers and success in the U.S. It is a bipartisan 501.c4 organization.
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