Family Involvement And Family Business Environmental Responsibility

Environment is the basis of human survival and development.Environmental responsibility should become an urgent topic of human attention with the development of society.As a complex system with "family" and "enterprise",family business is one of the most important organizational forms of enterprises in China and even in the world.The role of undertaking environmental responsibility for environmental protection cannot be ignored.China has been influenced by traditional "family culture",so it may be more typical to discuss the environmental impact of family involvement in Chinese family businesses.In addition,"family culture" makes family members more inclined to trust and hire family members,and there is a hierarchy of "differential pattern" in family internal governance.The heterogeneity of family members’ kinship relationships within enterprises will lead to differences in emotional identity,corporate governance and pursuit of social emotional wealth among family members,which may lead to different behaviors of family enterprises to undertake environmental responsibilities.Therefore,this thesis studies the relationship between family involvement and environmental responsibility of family enterprises,and explores the moderating effect of kinship combination on the relationship between the two.Firstly,this thesis puts forward relevant research hypotheses based on social emotional wealth theory,altruism theory,and resource dependence theory.Then in 2010-2019 data of Chinese public family firms has carried on the empirical test,the results show that the degree of family involvement can significantly improve the family corporate environmental responsibility and the positive impact of family involvement on corporate environmental responsibility gradually weakens with the change from core family members to siblings to family partnerships.Subsequently,this thesis conducted endogeneity analysis using propensity matching model and instrumental variable twostage regression method,and tested the robustness of empirical results using explanatory variable replacement,explained variable replacement,replacement regression model,grouping comparison model,and Heckman two-stage regression model.The results of endogeneity analysis and robustness test showed that the results were still valid.This research has some contributions,it has certain reference value to promote Chinese family firms’ environmental responsibility.It can provide reference for Chinese family enterprises to improve the internal corporate governance from the perspective of family kinship portfolio structure,and also provide some inspiration to balance economic development and environmental protection in the current economic system transformation.