The Influence of Socioemotional Wealth on Financing Attitudes and Decisions in Family Firms

Family firms are among the most important forms of business organization worldwide, especially in emerging economies. Their financing decisions are shaped not only by economic considerations but also by socioemotional wealth such as family control, identity, legacy, and emotional attachment. This dissertation examines how socioemotional wealth (SEW) influences financing attitudes and decisions in family firms.
The dissertation is organized into five chapters. Chapter 1 introduces the research problem, objectives, and the relevance of studying financing decisions from both economic and socioemotional perspectives. Chapter 2 reviews the theoretical foundations related to family firms, socioemotional wealth, behavioral agency theory, and financing attitudes, establishing the conceptual framework of the study. Chapter 3 presents a quantitative analysis based on a survey of 270 Peruvian family firms. The findings indicate that higher levels of SEW are associated with stronger preferences for internal financing and lower preferences for external debt and equity, while also shaping financing attitudes. Chapter 4 adopts a qualitative approach through the analysis of two Peruvian family firms, Copeinca and Grupo Polo, showing that SEW is dynamic and evolves according to ownership structures, governance processes, family dynamics, and contextual factors. Finally, Chapter 5 presents the main conclusions, contributions, limitations, and recommendations for future research.
Overall, this dissertation contributes to the family firm literature by providing a multidimensional understanding of socioemotional wealth and its influence on financing decisions, while also highlighting practical implications for advisors, policymakers, and financial institutions working with family firms.