Resistance or compatibility: Clan culture and corporate social responsibility

Abstract

Drawing upon a genealogy density of chairpersons’ native places for Chinese family firms to measure the intensity of clan culture, this study uses regression analysis and chooses the fixed model with firm clusters to examine the impact of regional clan culture on firms’ corporate social responsibility (CSR). The findings suggest that family firms’ CSR performance increases with greater clan cultural intensity; specifically, firms characterized by a robust clan culture tend to engage more in socially responsible activities, prioritizing internal CSR over external initiatives. Drawing on imprinting theory, the results illustrate that clan culture shapes CSR activities by influencing chairpersons’ ethics and fostering a sense of mutual assistance. Further insights indicate that the influence of clan culture is particularly pronounced when entrepreneurs operate within their local environments or hail from large clans. However, factors such as population mobility, formal institution development, and the gender of the chairperson serve to weaken the impact of clan culture. In general, this study contributes evidence toward understanding the drivers behind family firms’ CSR behaviors from the vantage point of traditional culture.