ESG reporting in the GCC: what is the added value of the family business? Contributions from the socioemotional wealth model

Purpose This study investigates family control and ESG disclosure in the GCC. We challenge Western agency assumptions by examining how internal governance and firm maturity condition this link, testing the Socioemotional Wealth (SEW) model in a patriarchal context. Design/methodology/approach We utilize a balanced panel of listed firms from Saudi Arabia, Kuwait and the UAE covering the period 2016–2021. To isolate firm-level governance effects from macroeconomic volatility, we employ a Generalized Linear Mixed-Effects Model (GLMM). Robustness checks explicitly incorporate year-fixed effects to control for temporal shocks and ensure the validity of the results. Findings Results reveal a positive baseline relationship between family control and ESG disclosure, supporting SEW “reputation-building”. This link is amplified by board size but dampened by female directorship, suggesting “tokenism”. Furthermore, firm age positively moderates this association, suggesting mature conglomerates leverage historical social capital to enhance transparency. Originality/value This research makes a threefold contribution: (1) it identifies the “Legitimacy Inertia” phenomenon in mature family firms; (2) it provides empirical evidence of the “Tokenism” trap in GCC board diversity and (3) it validates the dynamic nature of SEW, showing it is not a static trait but evolves with the firm’s lifecycle.