Abstract

Internationalization is an uncertain process that risks jeopardizing the socioemotional wealth (SEW) of family firms (FFs). While research shows that FFs internationalize less than their non-family counterparts, in part to preserve SEW, some venture abroad despite such risks. Our knowledge of how internationalizing FFs deal with inherent risks to their SEW, however, remains limited. In this paper, we conduct an exploratory, qualitative case-based investigation into the transfer of practices from three German FFs to their Brazilian subsidiaries, searching for evidence that this process can be mindful of the social and affective needs of the family. We find that the transfer of practices in FFs seeks to not only maintain SEW, but also expand it across borders. We contribute to SEW theory by showing how FFs use the transfer of practices as a carrier of SEW-sustaining behaviors, transferring practices aimed at minimizing risks to the family’s socioemotional endowment. We further expand the theory by demonstrating how maintaining SEW while operating overseas can mean expanding the family’s sphere of influence beyond its home roots. Finally, we contribute to the literature on the transfer of practices by showing how SEW characteristics can influence the effective adoption of practices in foreign subsidiaries.