Developing resilience through sustainability: Qualitative insights from family businesses

We investigate the link between sustainability and resilience based on a qualitative study of medium-sized family businesses. Our results show that long-term orientation, sustainable products, flexibility, and close and trusting stakeholder relationships can promote resilience. For instance, flexibility facilitates a fast reaction to unforeseen events and thus forms the basis for adaptability as a dimension of resilience. The results also show that making provisions for possible crises or building up financial reserves in good business times is essential. Making provisions for the future seems to be inherent in family businesses due to their long-term orientation and intention to hand the business over to future generations. The results of this qualitative study are highly relevant for corporate practice and serve as best examples for integrating sustainability to strengthen resilience to external crises. Commitment to sustainability, a holistic view of sustainability and its strategic integration, a focus on sustainable products and services, making provisions in good business times, and strengthening stakeholder relationships are only some aspects that can be learned from the investigated family businesses. However, resilience through sustainability takes time to develop.