Drivers of Environmental Responsibility in Family Firms: the Role of Environmental Manager

Abstract

Despite the significant role of family firms in economies throughout the world, their academic research is relatively young. Furthermore, previous empirical studies in the field have focused on general topics, rather than examining how family firms are similar or different from other types of organisations in the decision-making process. Little is known about what drives family firms to implement environmental concerns in their strategies. Based on the above-mentioned findings, the research aims to analyse what the main drivers of environmental responsibility are in family firms in Central and Eastern Europe (CEE) countries. The empirical study uses logistic regression that examines how selected important factors influence the adoption of strategic objectives that mention environmental or climate change issues. The study uses a data set from the World Bank Enterprise Survey 2019 and examines the attitudes of family businesses in four CEE countries (Czech Republic, Slovak Republic, Poland, and Estonia). The findings revealed a significant influence of the environmental manager, the customer's environmental requirements, and the energy performance standards on adopting strategic environmental objectives in family companies. We also consider the environmental manager as a key factor in terms of knowledge transfer and management of environmental responsibility in the firm. The results of this research provide a new perspective on the environmental responsibility of family businesses and explain which drivers should be considered when deciding to establish strategic objectives related to environmental issues. Managers should take these findings into account when deciding which tools to use to increase pro-environmental behaviour and implement environmental strategies.