How the capabilities of Family-Owned Wineries Moderate the Relationship Between Environmental Practices and Firm Performance

This study explores the relationship between managers’ attitudes toward sustainability, implemented environmental practices, and firm performance in family owned wineries. It also assesses how resources accumulated moderate the relationship between firms’ environmental practices and performance. Based on upper echelons theory, we posit that in family owned wineries, managers’ positive attitudes toward sustainability are positively related to the implementation of environmental practices by the firm, and that environmental practices positively impact firm performance relative to competitors. Consistent with dynamic capability theory, we propose that family owned wineries transform entrepreneurial thinking into dynamic capabilities by leveraging resources related to intellectual property (IP), branding, and certifications to strengthen the relationship between environmental practices and firm performance.