The interaction between institutional pressure and family dynamics plays a key role in shaping the governance of family firms, particularly in an African context. This study explores how family firms in North Africa balance institutional and family logics to achieve a more effective governance structure. Drawing on institutional discourse and the socioemotional wealth perspective, this paper sheds light on the paradoxical tensions between family and market logics. Using the Sys-GMM technique with data from listed family firms in Morocco, we reveal a direct correlation between family-centered governance practices (family logic) and financial performance. The moderating impact of institution-driven governance practices (market logic) is particularly significant. These original findings contribute to research on North African family firms and to institutional literature by establishing boundary conditions for the efficiency of corporate governance practices.
Idrissi et al. (Mon,) studied this question.