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Is this a man’s world? The effect of gender diversity and gender equality on firm innovativeness

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  • Daniela Ritter-Hayashi
  • Patrick Vermeulen
  • Joris Knoben

Abstract

Gender diversity is known to have a positive effect on innovation in developed countries. However, it is unclear whether the benefits of gender diversity for innovation also apply to the particular context of developing countries, which is characterized by diverse and lower levels of gender equality. We propose that gender diversity positively impacts innovation in the developing countries participating in our study. In addition, we expect that this effect is moderated by country-specific levels of gender equality. In a cross-country study covering 18,547 firms in 15 developing countries, we find that gender diversity among a firm’s owners and workforce as well as having a female top manager benefit innovation in developing countries. Yet, contradictory to our expectations, gender equality does not significantly moderate this relationship. As such, our results underline the importance of enabling and fostering gender diversity and have critical implications for firms and policy makers alike.

Suggested Citation

  • Daniela Ritter-Hayashi & Patrick Vermeulen & Joris Knoben, 2019. "Is this a man’s world? The effect of gender diversity and gender equality on firm innovativeness," PLOS ONE, Public Library of Science, vol. 14(9), pages 1-19, September.
    • Handle: RePEc:plo:pone00:0222443
    DOI: 10.1371/journal.pone.0222443
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    1. Antonella Biscione & Dorothée Boccanfuso & Raul Caruso & Annunziata Felice, 2022. "The innovation gender gap in transition countries," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 39(2), pages 493-516, July.
    2. Raul Caruso & Antonella Biscione & Dorothée Boccanfuso & Annunziata de Felice, 2020. "Blinder-Oaxaca Approach to Identify Innovation Differences in Transition Countries," Working Papers 1008, European Centre of Peace Science, Integration and Cooperation (CESPIC), Catholic University 'Our Lady of Good Counsel'.
    3. Odhiambo Norbert Omuga & Robert Moracha Ogeto & Xiongying Niu, 2021. "Effect of Determinants of Entrepreneurial Innovation on Businesses Innovation Capacity in Sub-Saharan Africa," International Journal of Science and Business, IJSAB International, vol. 5(5), pages 8-21.

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