What Does Really Matter in the Internationalization of Small and Medium-Sized Family Businesses?

During the last decades considerable academic attention has been given to the internationalization of family businesses, as it is often considered a way to revitalize both the family and the business. Despite this increasing attention, the debate on its drivers, challenges and constraints is still inconclusive. The aim of this study is to explore whether incoming generations' involvement impact the decision to exploit and explore international opportunities and to what extent altruism and competence-based trust mediate that relationship. Three propositions are formulated drawing from international entrepreneurship literature and stewardship theory. To validate this framework, a multiple case study on four Italian family firms has been conducted. The main findings suggest that timing, scope and internationalization modes change in relation to specific family firms' features. When “epochal” changes (e.g. incoming generation) suddenly break down they contribute positively to the exploration and exploitation of international entrepreneurial activities. Moreover, the existence of interpersonal ties based on altruism and competence-based trust between senior and incoming generations mitigate this relationship