Socio-emotional wealth and corporate responses to environmental hostility: Are family firms more stakeholder oriented?

Isabel-Maria García-Sánchez, Julia Martín-Moreno, Sana Khan, Nazim Hussain*

*Corresponding author for this work

Research output: Contribution to journalArticleAcademicpeer-review

38 Citations (Scopus)
68 Downloads (Pure)


Do family firms care more for different stakeholders than nonfamily firms when operating in a hostile business environment? This study addresses this question and fills the existing void in family business research. It shows that family-controlled firms adopt corporate social responsibility strategies and balance the demands of internal and external interest groups to preserve their socio-emotional wealth while facing fierce competition, resource scarcity, and penurious economic conditions. More specifically, our analysis of an international sample of 956 listed firms from 2006 to 2014 reveals that family firms show a higher level of corporate social responsibility (CSR) performance and better stakeholder orientation than nonfamily firms. Our findings are useful for managers, policymakers, and responsible investors.
Original languageEnglish
Pages (from-to)1003-1018
Number of pages16
JournalBusiness Strategy and the Environment
Issue number2
Early online date5-Oct-2020
Publication statusPublished - Feb-2021

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