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Diversity in human and social capital: Empirical evidence from Asian tourism firms in corporate board composition

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  • Ooi, Chai-Aun
  • Hooy, Chee-Wooi
  • Mat Som, Ahmad Puad

Abstract

This study examines the links between the composition of the board of directors of 85 tourism firms in China, Hong Kong, Malaysia and Singapore and firm performance for the period 2001 to 2012. Distinctions are made between the composition of board's human and social capital, and it is generally found that diversity in board's social capital is positively related with firm performance, especially during periods of crisis. Nonlinearities are found in the relationship between diversification of board and firm performance, suggesting that an over-diversification of the composition of human and social capital can impede firm performance. Various recommendations are made based upon the findings.

Suggested Citation

  • Ooi, Chai-Aun & Hooy, Chee-Wooi & Mat Som, Ahmad Puad, 2015. "Diversity in human and social capital: Empirical evidence from Asian tourism firms in corporate board composition," Tourism Management, Elsevier, vol. 48(C), pages 139-153.
  • Handle: RePEc:eee:touman:v:48:y:2015:i:c:p:139-153
    DOI: 10.1016/j.tourman.2014.11.002
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    2. Chien Mu Yeh, 2020. "The influence of foreign institutional investors, institutional directors, and the share pledge ratio of directors on financial performance of tourism firms," Tourism Economics, , vol. 26(1), pages 179-201, February.
    3. Fangjun Wang & Lizhu Ma & Baojun Gao & Yang S Liu, 2024. "Does high-speed railway affect the cost behavior of tourism firms? Evidence from China," Tourism Economics, , vol. 30(1), pages 212-235, February.
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    5. Chen Hao & Xuegang Feng & Dandan Wu & Xiaodong Guo, 2024. "Board interlocks and corporate risk-taking: An empirical analysis of listed companies from tourism and related industries in China," Tourism Economics, , vol. 30(1), pages 174-211, February.
    6. Fang Deng & Chunbo Zhou, 2022. "Sustainable Development of Corporate Governance in the Hospitality and Tourism Industry: The Evolution and the Future," Sustainability, MDPI, vol. 14(7), pages 1-19, April.
    7. Chee-keong Choong & Sok-gee Chan & Chuen-khee Pek, 2016. "The Effect of Board Composition on the Efficiency of Public Listed Companies in Malaysia," Economics Bulletin, AccessEcon, vol. 36(3), pages 1354-1363.

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