The Impact of Gender Diversity on the Performance of Business Teams: Evidence from a Field Experiment
University of Amsterdam - Faculty of Economics and Business (FEB); Tinbergen Institute
University of Amsterdam - Research Institute in Economics & Econometrics (RESAM); Tinbergen Institute Amsterdam (TIA); Institute for the Study of Labor (IZA)
Mirjam Van Praag
University of Amsterdam - Department of Economics; Copenhagen Business School; Tinbergen Institute; Institute for the Study of Labor (IZA)
April 28, 2011
Management Science, Vol. 59, No. 7, 2013, pp. 1514-1528
This paper reports about a field experiment conducted to estimate the impact of the share of women in business teams on their performance. Teams consisting of undergraduate students in business studies start up a venture as part of their curriculum. We manipulated the gender composition of teams and assigned students, conditional on their gender, randomly to teams. We find that teams with an equal gender mix perform better than male-dominated and female-dominated teams in terms of sales, profits and earnings per share. We explore various mechanisms and find that mutual monitoring is more intense in mixed teams than in homogeneous teams. This partially explains the better results of mixed teams.
Number of Pages in PDF File: 31
Keywords: Gender diversity, team performance, entrepreneurship, field experiment, entrepreneurship education, board effectiveness
JEL Classification: J16, L25, L26, M13, C93
Date posted: May 1, 2011 ; Last revised: November 4, 2014
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