According to common wisdom, the unique characteristics of family firms give them a natural edge when it comes to ESG performance. This IESE Insight article suggests a more nuanced reality, with highlights from recent research by NYU Stern professor Belén Villalonga and IESE professors Marta Elvira, Igor Kadach and Gaizka Ormazabal. What drives sustainability performance? […]
ESG pay in family businesses: what boards and CEOs need to know
Co-author: Jessenia Davila, Post-Doctoral Researcher at IESE Environmental, social and governance (ESG) criteria have become an established practice in the corporate landscape, leading more firms to tie executive compensation to ESG performance. Known as ESG pay, this approach is transforming incentive structures and redefining the meaning of success at the top. But for the leaders […]
The “S” in ESG: social commitment in family business
Family businesses form the cornerstone of the global economy. Their ability to create employment, drive innovation and enhance social cohesion also makes them a key player in the transformation toward a more sustainable world. That said, the social dimension of ESG (environmental, social and governance) in family-owned firms remains a challenge both in terms of […]