A matter of control or identity? Family firms' environmental reporting decisions along the corporate life cycle

摘要

Building on the socioemotional wealth (SEW) perspective, this study explores environmental disclosure (ED) practices in family firms and investigates whether the firm's life cycle stage plays a moderating role in these practices. We focus on two dimensions of the SEW: family control and influence and family identity. To the extent that different types of family-controlled firms have different reporting behaviors based on their primary SEW dimension, they will undertake the ED strategies that allow them to preserve their SEW. Using a sample of listed firms from the Milan Stock Exchange, we show that family firms for which the family control and influence SEW dimension is most salient provide less environmental information than non-family firms and that this effect is weakened along the family firm's life cycle. Our findings also indicate that middle-aged family firms, where the family identity dimension prevails, provide more ED than do non-family firms. Our study contributes to knowledge about how the socioemotional endowment affects family firms' reporting behavior.