Do Women in Top Management Affect Firm Performance? Evidence from Indonesia
AbstractThis paper investigates the relationship between gender diversity on management boards and financial performance of Indonesian listed companies. We conduct cross-sectional regression analysis based on a sample comprising 92.4 percent of public firms listed on the Indonesia Stock Exchange (IDX). We find that the representation of female top executives is negatively related to both accounting and market performance, suggesting that female representation is not associated with improved level of performance. From correlation analysis, our results also reveal that smaller firms, which tend to be family-controlled, are more likely to have higher proportion of female members on management boards. This implies that large firms are “tougher” for women in terms of opportunities to hold seats on the board.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 38743.
Date of creation: 01 Dec 2010
Date of revision:
Corporate governance; Gender diversity; Female representation; Financial performance; Indonesia;
Find related papers by JEL classification:
- G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
- G30 - Financial Economics - - Corporate Finance and Governance - - - General
- J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Wiwattanakantang, Yupana, 2001.
"Controlling Shareholders and Corporate Value: Evidence from Thailand,"
CEI Working Paper Series
2001-4, Center for Economic Institutions, Institute of Economic Research, Hitotsubashi University.
- Wiwattanakantang, Yupana, 2001. "Controlling shareholders and corporate value: Evidence from Thailand," Pacific-Basin Finance Journal, Elsevier, vol. 9(4), pages 323-362, August.
- Nina Smith & Valdemar Smith & Mette Verner, 2005.
"Do Women in Top Management Affect Firm Performance? A Panel Study of 2500 Danish Firms,"
CIE Discussion Papers
2005-03, University of Copenhagen. Department of Economics. Centre for Industrial Economics.
- Smith, Nina & Smith, Valdemar & Verner, Mette, 2005. "Do Women in Top Management Affect Firm Performance? A Panel Study of 2500 Danish Firms," IZA Discussion Papers 1708, Institute for the Study of Labor (IZA).
- Eklund, Johan & Palmberg, Johanna & Wiberg, Daniel, 2009.
"Ownership Structure, Board Composition and Investment Performance,"
Ratio Working Papers
129, The Ratio Institute.
- Eklund, Johan & Palmberg, Johanna & Wiberg, Daniel, 2009. "Ownership Structure, Board Composition and Investment Performance," Working Paper Series in Economics and Institutions of Innovation 172, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
- Oxelheim, Lars & Randoy, Trond, 2003.
"The impact of foreign board membership on firm value,"
Journal of Banking & Finance,
Elsevier, vol. 27(12), pages 2369-2392, December.
- Oxelheim, Lars & Randøy, Trond, 2001. "The Impact of Foreign Board Membership on Firm Value," Working Paper Series 567, Research Institute of Industrial Economics.
- Coles, Jeffrey L. & Daniel, Naveen D. & Naveen, Lalitha, 2008. "Boards: Does one size fit all," Journal of Financial Economics, Elsevier, vol. 87(2), pages 329-356, February.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ekkehart Schlicht).
If references are entirely missing, you can add them using this form.