Family firms and sustainable development goals: the role of ownership, management, and country progress

Abstract This article examines the role of businesses and managers in driving sustainable development, with a focus on family firms. Drawing on the mixed gamble perspective, we compare the progress of family and non-family firms toward achieving SDG 7 (affordable and clean energy). We develop a framework that illustrates how ownership, management structures, and the national context shape firms’ sustainability behavior. Using panel data from listed firms in 39 countries over 14 years, we show that family-owned firms led by non-family managers achieve a higher level of progress toward SDG 7 than non-family firms and family firms led by family members. Contrary to expectations, country-level progress toward SDG 7 does not significantly influence the relative performance of family versus non-family firms. This study contributes to the family business literature and broader debates on corporate roles in advancing the SDGs, challenging assumptions about national context, and underscoring the pivotal role of non-family managers. For policymakers and business leaders, the study offers insights into how governance structures can foster sustainable development in the global business sector.