Gender Diversity in Large Listed Indian Companies

Corporate Ownership and Control 1727-9232 Vol 12(3) (2015)

Posted: 28 Jun 2015

See all articles by Arunima Haldar

Arunima Haldar

S.P. Jain Institute of Management and Research

Reeta Bharat Shah

Indian Institute of Technology (IIT), Bombay - Shailesh J. Mehta School of Management (SJM)

S.V.D. Nageswara Rao

Indian Institute of Technology (IIT), Bombay - Shailesh J. Mehta School of Management (SJM)

Date Written: June 2015

Abstract

This paper aims to examine the effectiveness of gender diverse boards on financial performance in large listed Indian companies by taking a resource dependency perspective. Gender diverse board is measured by presence of the independent female director on the board. Further, financial performance is measured by the market performance measure taking Tobin’s Q. This relationship is examined by collecting information for eleven financial years from 2003-13. Panel regression model is employed to assess the proposed relationship. The analysis confirms that independent gender diverse boards significantly affect financial performance. Another important revelation of the study is that the financial performance of company having gender diverse boards increases with board size.

Keywords: Gender Diversity, Tobin’s Q, Panel Data, India

JEL Classification: G38, M14, J15, J16

Suggested Citation

Haldar, Arunima and Shah, Reeta Bharat and Nageswara Rao, S. V. D., Gender Diversity in Large Listed Indian Companies (June 2015). Corporate Ownership and Control 1727-9232 Vol 12(3) (2015), Available at SSRN: https://ssrn.com/abstract=2623559

Arunima Haldar (Contact Author)

S.P. Jain Institute of Management and Research ( email )

Munshi Nagar, Dadabhai Road
Andheri West
Mumbai, Maharashtra 119579
India

Reeta Bharat Shah

Indian Institute of Technology (IIT), Bombay - Shailesh J. Mehta School of Management (SJM) ( email )

Powai
Mumbai, Maharashtra 400076
India

S. V. D. Nageswara Rao

Indian Institute of Technology (IIT), Bombay - Shailesh J. Mehta School of Management (SJM) ( email )

Powai
Mumbai 400076
India
91-22-25767789 (Phone)
91-22-25722872 (Fax)

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