Culture, Islamic capital and the entrepreneurial behaviour of family firms in Saudi Arabia

Abstract

PurposeThere is a significant gap in understanding with regards to the role of cultural context in family business research. This paper aims to address this by exploring the critical and pervasive influence of culture in shaping the entrepreneurial behaviours of family businesses based in Saudi Arabia.Design/methodology/approachThe authors adopt a qualitative interpretive case study approach, which draws upon interviews with the incumbents and successors of ten Saudi Arabian family firms.FindingsThe authors’ empirical evidence reveals the importance of family ties and culture on the entrepreneurial behaviour of family firms in general, and the influence of “Islamic capital” on the intergenerational transfer of family legacy in particular.Originality/valueThe authors provide critical insights on how Islamic capital motivates Saudi family firms to maintain harmony, avoid disputes and create a legacy for future generations by engaging in entrepreneurial behaviours.