Strategic intangibles in small family firms: The mediating role of innovativeness in resource-constrained environments

This study addresses a critical gap in the literature by examining how family-based brand identity and entrepreneurial orientation (specifically, proactiveness and risk taking) influence the performance of small family firms operating in emerging markets. Grounded in the resource-based view (RBV), these constructs are conceptualized as strategic intangible resources that underpin competitive advantage. A cross-sectional survey of 460 privately held small family firms in Pakistan was conducted, using validated scales for family-based brand identity, entrepreneurial orientation (EO) dimensions, innovativeness, and performance. Following a pilot test, the data underwent confirmatory factor analysis and structural equation modeling (SEM) in AMOS 24.0 to assess direct and mediating relationships. The findings reveal that cultivating a family-based brand identity and entrepreneurial orientation significantly contributes to improved firm performance by recognizing the family as the brand and EO as family firm resources via the RBV, by assessing their impact on performance, and by mediating the effect of innovativeness. The study extends RBV theory through the identification of family-based brand identity and EO as firm-specific resources in small family firms and demonstrates innovativeness as a mediator