While some research on entrepreneurship in family businesses has focused on transgenerational value creation, a gap exists
in understanding how such value is generated across generations. The present research offers insights through the lens of
dynamic capabilities, which are created by knowledge and in turn generate entrepreneurial performance and value creation.
A model is built based on literature and case research. The crucial role of the organizational culture emerges through the
empirical study. Family inertia is considered to be a factor preventing the creation of dynamic capabilities. We find that
family inertia depends on characteristics of the family business culture, where paternalism and entrepreneurial orientation
influence family inertia positively and negatively, respectively. Family firms from Switzerland and Italy active in the beverage
industry represent the empirical context. Theoretical and practical implications are offered.