Culture, convention, and continuity: Islam and family firm ethical behavior

Abstract

Indeed, such entities represent a unique context whereby familial ties (Eddleston, Chrisman, Steier, & Chua, 2010), family goals and values (Kotlar & De Massis, 2013), differing family business governance approaches (Schulze, Lubatkin, Dino, & Buchholtz, 2001), and family dynamics influencing business succession (Helin & Jabri, 2016) intersect. Among contextual influences on family business is the religious beliefs of the founder, the family, and the wider national culture (Kavas, Jarzabkowski, & Nigam, 2020). Religious influences not only shape societies, but also can have a profound impact on organizational decisions, operations, and ethical behavior (Tracey, 2012). As recent reviews have demonstrated (Vazquez, 2018

Islamic Religious Atmosphere and Audit Pricing: Evidence from Iran

“…This result could also extend the recent study of Alrubaishi et al. (2021) on the significant influence of Islamic values on family companies’ decisions, which has received little attention from scholars (Alrubaishi et al., 2021). Furthermore, this study provides insight into an emerging market in Iran.…”

Islamic Work Ethics and its Impact on Enhancing Organizational Commitment in Bahraini Private Educational Universities

“…The importance of studying work ethics and how to establish it in the hearts and consciences of employees stems from the fact that the lack of ethics in the organization results in an ineffective administrative system that is weak in response to customers' needs and stakeholders. Islam, as a comprehensive religion, is keen to educate its followers on basic principles of work ethics, which are required for every job, taking into consideration the great link between work ethics and the prevailing values in society (Alrubaishi, Dalal, Maura McAdam, 2021).…”

A generational perspective of family firms' social capital: Interplay between ethical leadership and firm performance

“…Consequently, family firms are less likely to be associated with unethical misconduct (Ding & Wu, 2014). Family leaders are the main transmitters of family and business culture and values, playing an influential role in building and reinforcing adequate organizational behavior (Alrubaishi et al, 2020;Garcia-Alvarez & Lopez-Sintas, 2001).…”

“…Consequently, family firms are less likely to be associated with unethical misconduct (Ding & Wu, 2014). Family leaders are the main transmitters of family and business culture and values, playing an influential role in building and reinforcing adequate organizational behavior (Alrubaishi et al, 2020; Garcia‐Alvarez & Lopez‐Sintas, 2001). While it is true that family firms can engage in unethical behaviors or show a low commitment to social responsibility (e.g., Campopiano & De Massis, 2015; Cuadrado‐Ballesteros et al, 2017; Eddleston & Mulki, 2021), they are expected to be less incentivized to do so, given that corporate misconduct would compromise their image and reputation and put at risk the conservation of their influence and social connections (Deephouse & Jaskiewicz, 2013).…”