Airlangga Journal of Innovation Management
Vol. 6 No. 4 (2025): Airlangga Journal of Innovation Management

Ethical Leadership and CSR Synergy: Building Sustainable Family Business Performance

Rizki, Tabah (Unknown)



Article Info

Publish Date
13 Dec 2025

Abstract

This study aims to examine the influence of ethical leadership ideals and Corporate Social Responsibility (CSR) implementation on sustainability performance in family companies. Ethical leadership fosters a culture of honesty, fairness, transparency, and accountability, while CSR reflects a company’s commitment to balancing economic, social, and environmental goals. Using a quantitative approach, data were collected through structured questionnaires from 185 family business executives in Indonesia selected via purposive sampling. The data were analyzed using SPSS 25 with multiple linear regression analysis. The findings reveal that ethical leadership has a positive and significant effect on sustainability performance. Likewise, CSR implementation also positively and significantly affects sustainability performance. Strategically implemented CSR strengthens the three pillars of sustainability: economic (through efficiency and innovation), social (through harmonious relationships with employees and communities), and environmental (through eco-friendly and sustainable practices). These findings support the Resource-Based View (RBV) and Stakeholder Theory, which state that ethical leadership and CSR are intangible assets that create a sustained competitive advantage and enhance social legitimacy. The study emphasizes the importance of synergy between ethical leadership and CSR in building a sustainable corporate culture that upholds reputation, fosters stakeholder trust, and ensures the continuity of family businesses across generations

Copyrights © 2025






Journal Info

Abbrev

AJIM

Publisher

Subject

Economics, Econometrics & Finance Social Sciences

Description

Airlangga Journal of Innovation Management (AJIM) aims to link the research and practice of innovation management. AJIM adopt a multidisciplinary approach to addressing the many challenges of managing innovation. AJIM encourages the submission of papers addressing the multidisciplinary nature of the ...