Research On The Influence Of Intergenerational Succession Of Family Business On Corporate Philanthropy

Corporate philanthropy is an important form of corporate social responsibility.The outstanding performance of family business in corporate philanthropy has been widely concerned by the society.Family business is the product of the integration of family system and enterprise system.Family involvement makes enterprises pay more attention to the use of corporate philanthropy activities to achieve the purpose of accumulating social emotional wealth.The corporate philanthropy of family business has become an important entry point to study the behavior of family business which is different from other enterprises.At present,family enterprises in China are in the critical period of the transition of the first and second generations,and intergenerational succession is an important link for the family to realize the long-term development.As family members have a great influence on the operation and management of family enterprises,corporate philanthropy is an important strategic decisionmaking behavior of enterprises,and its decision-making is influenced by family managers.The problem of intergenerational succession faced by Chinese family enterprises is closely related to the problem of strategic decision-making.It is an effective way for us to deeply understand the relationship between intergenerational succession and corporate strategic behavior decisionmaking to carry out the research on corporate philanthropy behavior during the succession period.The corporate philanthropy in the family business inheritance stage not only shows the understanding and thinking of the inheritors of family business on the distribution and arrangement of family wealth and business property,but also reflects the process of family members' inheritance and continuation of social emotional wealth.Therefore,it is of great theoretical and practical significance to explore the influence of intergenerational succession on corporate philanthropy.According to the background of many family enterprises entering the intergenerational inheritance stage in China,this paper takes the listed family enterprises from 2008 to 2018 as the research sample,and discusses the influence of intergenerational succession of family enterprises on corporate philanthropy from the perspective of the change of decision-making body of family enterprises.At the same time,based on the institutional perspective,this paper analyzes the regulative effect of institutional environment and founder's political identity in their relationship.The empirical results show that(1)For the purpose of building the legitimacy of family authority and the motivation of accumulating family social emotional wealth,family enterprises are more inclined to make more philanthropic donations when they have entered the intergenerational inheritance stage,and with the deepening of the involvement of the second generation of families in management,they are inclined to make more philanthropic donations.(2)Based on resource-based theory and social capital theory,institutional environment negatively moderates the relationship between intergenerational succession and corporate philanthropy,and founder's political identity positively moderates the relationship between intergenerational succession and corporate philanthropy.The conclusion of this study is still valid after the robustness test.Further research shows that(1)There is "Suppression Effect" of charitable donation in the influence of family business intergenerational succession on corporate value.(2)Intergenerational succession can inhibit R&D investment,and charitable donation has a partial mediating effect in the influence of family business intergenerational succession on corporate innovation investment.The main contributions of this paper are:(1)Enriches the research in the field of family business social responsibility.Based on the practical background of intergenerational succession,it has important practical significance to explore the influence of the second generation of family enterprises involved in corporate philanthropy.(2)Expand the research of family business inheritance field,discusses the influence of intergenerational succession on the decision-making of corporate charitable donation from the perspective of intergenerational inheritance stage of family business,expands the research on the influence of intergenerational succession on family business strategic resource allocation arrangement.(3)Reveals the influence of intergenerational inheritance on family enterprises' philanthropy in different situations,enriches the cognition of influencing factors of family enterprises' philanthropy under the background of inheritance.