Abstract:
This study investigates whether family firms are less prone to corporate social responsibility (CSR) decoupling. By analyzing 34,588 firm-year observations across 41 countries (2006-2017) using panel regression on STATA 18 software, study finds that family firms exhibit significantly lower levels of CSR decoupling, greenwashing, and brownwashing compared to non-family firms. These findings suggest that family firms prioritize stakeholder interests and maintain greater alignment between CSR disclosure and performance. Moreover, country-level cultural practices moderate this relationship. Grounded in socioemotional wealth theory, the results imply that family firms, driven by long-term stakeholder relationships and reputational concerns, are more likely to engage in transparent and responsible CSR reporting.