This study investigates how family firms and nonfamily firms achieve the international diversification performance during the global financial crisis. We use agency theory to explore the motivation of international diversification and the impact of firms agency problem on international diversification performance. If family firms alignment effect dominates entrenchment effect, family firms international diversification performance will be better than nonfamily firm. On the contrary, if a family firms entrenchment effect dominates the alignment effect, a nonfamily firms international diversification performance will be better than family firm. The empirical results show family firms outperform non family firms during the financial crisis period and financial stability period, under the background of the effect of family interprise benefit consistency is greater than that of power consolidation. Therefore, family firm is still a more efficient organization.