CSR in Family Firms: How the next generations matter in Family Business matters!

Prior literature in family firm explored the relationships between CSR and Socioemotional Wealth theory but the next generations’ involvement in CSR activities is under-explored. Filling this gap, this study blends socioemotional wealth theory with a fresh theoretical lens – CSR - to systematically analyse how the next generations in family firms engage in CSR activities and how involvement affect their commitment to the family business. Studying six family firms in Nigeria, we show that the next generations’ involvement in CSR activities include decision making, project design and operationalization. Evidence links this involvement to the next generations’ commitment to family firms because of emotional connection to multiple stakeholders, empowerment for control and promoting family name. The study contributes to the Socioemotional Wealth Theory by introducing the differentiating factor of next generations’ desire to promote family name across multiple stakeholders, as a key dimension that affects the next generations’ commitment to family business.