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Do female directors really add value in Indian firms?

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  • Chauhan, Yogesh
  • Dey, Dipanjan Kumar

Abstract

The study examines the effect of female directors on firm performance for Indian firms, where the domination of family firms and a patriarchal society may reduce the importance of female directors. Our empirical results suggest that the gender diversity does not matter for Indian firms. Our further results support this finding by indicating that female directors face more attendance problems compared to male directors, and are less likely to be appointed in monitoring-related committees. Overall, our results strengthen the tokenism status theory associated with female directors, especially in family-owned firms and in a patriarchal society.

Suggested Citation

  • Chauhan, Yogesh & Dey, Dipanjan Kumar, 2017. "Do female directors really add value in Indian firms?," Journal of Multinational Financial Management, Elsevier, vol. 42, pages 24-36.
    • Handle: RePEc:eee:mulfin:v:42-43:y:2017:i::p:24-36
    DOI: 10.1016/j.mulfin.2017.10.005
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    Cited by:

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    3. Liliana Nicoleta Simionescu & Ştefan Cristian Gherghina & Hiba Tawil & Ziad Sheikha, 2021. "Does board gender diversity affect firm performance? Empirical evidence from Standard & Poor’s 500 Information Technology Sector," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 7(1), pages 1-45, December.
    4. Hamelin, Anaïs & Lefebvre, Vivien & Weill, Laurent, 2022. "No debt no performance? CEO gender matters," Economics Letters, Elsevier, vol. 219(C).
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    6. Irene Wei Kiong Ting & Wei-Kang Wang & Wen-Min Lu & Yun-Jung Chen, 2021. "Do female directors will have impact on corporate performance?," Review of Managerial Science, Springer, vol. 15(3), pages 611-631, April.
    7. Faozi A. Almaqtari & Hamood Mohd. Al-Hattami & Khalid M. E. Al-Nuzaili & Mohammed A. Al-Bukhrani, 2020. "Corporate governance in India: A systematic review and synthesis for future research," Cogent Business & Management, Taylor & Francis Journals, vol. 7(1), pages 1803579-180, January.

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    More about this item

    Keywords

    Female director; Gender; Board of directors; Emerging markets; Diversity; Family-owned firms;
    All these keywords.

    JEL classification:

    • G30 - Financial Economics - - Corporate Finance and Governance - - - General
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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