The setting of non-financial goals in the family firm: The influence of family climate and identification

•We analyse how family dynamics affect the family firm's goals.•We obtained data from 374 members of TMTs in 173 Spanish family firms.•A positive family climate generates greater identification with the firm.•Family identification leads the firm to the adoption of non-financial goals.

The article contributes to the literature on socioemotional wealth by analysing the drivers of non-financial goals in the family firm. We draw from family system and social identity literature to analyse how family dynamics affect the setting of non-financial goals suggesting that this influence is mediated by the family's degree of identification with the firm. More specifically, we propose that a positive family climate in terms of cohesion, open communication and intergenerational attention generates a greater identification of the family with the firm. In turn, identification leads the firm to adopt value creation goals specific to the family or non-financial goals. Data obtained from 374 members of TMTs in 173 Spanish private family firms allow for the confirmation of these expectations.