Ceasing to communicate public family firm identity: the decoupling of internally experienced and externally communicated identities

Abstract

PurposeThe purpose of this study is to explore how the family firm identity is affected when it is no longer publicly communicated.Design/methodology/approachA case study approach was used to follow a third-generation family business, a large Swedish home electronics firm that acquired a competitor and, initially, continued using its family firm identity after the acquisition. This study longitudinally tracks the company and its owning family using archival data combined with interviews.FindingsThe case company decided to stop communicating their identity as a family business. Such a move initially appears counterintuitive, since it potentially threatens the family firm identity and leads the firm to forgo other advantages, e.g. in branding. However, the decision was based on arguments that were rational from a business perspective, leading to a decoupling of family and firm identity.Originality/valueThis study contributes to the literature by showing a decoupling of internally experienced and externally communicated identities. It further contributes to the understanding of the family firm identity concept.