Corporate governance and corporate social disclosures: a meta-analytical review

2017 ◽  
Vol 25 (4) ◽  
pp. 434-458 ◽  
Author(s):  
Md. Tofael Hossain Majumder ◽  
Aklima Akter ◽  
Xiaojing Li
Keyword(s):  
Corporate Governance ◽  
Meta Analysis ◽  
Gender Diversity ◽  
Positive Association ◽  
Negative Association ◽  
Government Ownership ◽  
Significant Positive Association ◽  
Content Type ◽  
Board Gender Diversity ◽  
Corporate Social

Purpose This study aims to investigate the association between corporate governance and corporate social disclosures (CSD). Design/methodology/approach Data analysis has been conducted on 29 prior studies published between 2004 and 2016 for the purpose of integrating the findings across studies. The study uses the meta-analysis instrument developed by Hunter et al. (1982). Findings The investigation finds a significant positive association between board size, the frequency of board meetings and auditors’ credibility with CSD. Both the managerial and concentrated ownership have a significant but negative association with CSD. In contrast, board independence, board gender diversity, the composition of non-executive directors, government ownership, foreign ownership and institutional ownership are insignificantly and positively associated with CSD. CEO duality is also insignificant with CSD but indicates a negative association. The study further investigates that the association between board gender diversity and CSD affected by the differences of the country of study. Originality/value This paper adds significance to the extant academic literature as well as assists the appropriate policy maker in assessing the determinants of CSD from the viewpoints of corporate governance. It further aims to reconcile the findings of the previous studies around the world, and also for the developed and developing countries separately.

Corporate governance and risk taking: the role of board gender diversity

2019 ◽  
Vol 31 (1) ◽  
pp. 19-42 ◽  
Author(s):  
Heba Abou-El-Sood
Keyword(s):  
Corporate Governance ◽  
Risk Taking ◽  
Emerging Market ◽  
Gender Diversity ◽  
Capital Adequacy ◽  
Bank Risk ◽  
Regulatory Capital ◽  
Government Ownership ◽  
Content Type ◽  
Board Gender Diversity

Purpose This paper aims to investigate the association between board gender diversity and bank risk taking in an emerging market context. Design/methodology/approach The association between female board directorship and bank risk taking is examined, while controlling for board characteristics, managerial, concentrated, family and government ownership. Two-stage regression with instrumental variables is used for a sample of banks listed in Gulf Cooperation Council (GCC) countries during 2002-2014. Findings Results show that banks with more female board directors invest in less risky positions; the association is attenuated when the regulatory capital is larger, providing protection against risky investments, and female directors tend to invest less in risky asset positions in Islamic banks relative to conventional banks. Practical implications The relevance of the findings stems from the recent initiatives undertaken by the Basel Committee to address deficient corporate governance structures that lead to bank breakdowns and the diversified economy of the fast-growing GCC market, relying on banking services in the aftermath of the oil price drop. Originality/value This paper provides novel evidence on the influence of board gender diversity on bank risk taking in an emerging market context. This paper fills a gap in prior research by examining bank-specific regulatory capital adequacy and Islamic banking aspects.

Business ethics disclosure and corporate governance in Sub-Saharan Africa (SSA)

2020 ◽  
Vol 28 (2) ◽  
pp. 363-387 ◽  
Author(s):  
Nelson Waweru
Keyword(s):  
Corporate Governance ◽  
Business Ethics ◽  
Gender Diversity ◽  
Sub Saharan Africa ◽  
Stock Exchanges ◽  
Government Ownership ◽  
Content Type ◽  
Sub Saharan ◽  
Board Gender Diversity ◽  
The Relationship

Purpose The purpose of this paper is to examine the relationship between business ethics practices disclosure and corporate governance characteristics in Sub-Saharan Africa. Design/methodology/approach The study uses multiple regression to investigate the association between business ethics disclosure (BED) and corporate governance characteristics in SAA. The study sample is based on 573 non-financial corporations listed on the national stock exchanges of Ghana, Kenya, Nigeria, South Africa and Zimbabwe as of 31 December 2015. Findings The findings show that corporate governance characteristics (including the proportion of government ownership, board independence and board gender diversity) are positively and significantly related to BED. Originality/value The study contributes to the limited literature by analyzing the relationship between BED practices and corporate governance characteristics in the sub-Sahara African context, which is significantly different from the Anglo-Saxon world.

Effects of board and ownership structure on corporate performance

2014 ◽  
Vol 4 (1) ◽  
pp. 117-130 ◽  
Author(s):  
Houda Arouri ◽  
Mohammed Hossain ◽  
Mohammad Badrul Muttakin
Keyword(s):  
Corporate Governance ◽  
Ownership Structure ◽  
Positive Association ◽  
Bank Performance ◽  
Corporate Boards ◽  
Governance Mechanism ◽  
Government Ownership ◽  
Significant Positive Association ◽  
Content Type ◽  
Gcc Countries

Purpose – The purpose of this paper is to examine the effect of ownership structure and board composition on bank performance as measured by Tobin's Q and market to book value in Gulf Co-Operation Council (GCC) countries. Design/methodology/approach – A dataset of 58-listed banks of GCC countries for the period 2010 is used. The methodology is based on multivariate regression analysis. Findings – The result shows that the extent of family ownership, foreign ownership and institutional ownership has a significant positive association with bank performance. However, government ownership does not have a significant impact on performance. Other governance variables such as CEO duality and board size appear to have an insignificant impact on performance. Practical implications – Better corporate governance mechanisms are imperative for every company and should be encouraged for the interest of the investors and other stakeholders. The study implies that ownership by corporate governance is more effective for GCC countries. The study also suggests that unlike in western countries, corporate boards may not be an effective corporate governance mechanism in GCC countries. Originality/value – The paper extends the findings of the corporate governance and bank performance relationship in GCC countries that are neglected in the previous literature.

Does board gender diversity affect the transparency of corporate political disclosure?

2018 ◽  
Vol 26 (4) ◽  
pp. 444-463 ◽  
Author(s):  
D.G. DeBoskey ◽  
Yan Luo ◽  
Jeff Wang
Keyword(s):  
Corporate Governance ◽  
Voluntary Disclosure ◽  
Gender Diversity ◽  
Political Activity ◽  
Political Contributions ◽  
Firm Level ◽  
Data Set ◽  
Content Type ◽  
Ethics Research ◽  
Board Gender Diversity

Purpose The purpose of this paper is to examine the influence of board gender diversity on the transparency of corporate political disclosure (CPD). Design/methodology/approach Two empirical proxies, CPD transparency and policy transparency, are constructed from a data set jointly produced by the Center of Political Activity and the Carol and Lawrence Zicklin Center for Business Ethics Research. The CPD transparency score measures the level of transparency in voluntary corporate disclosure of the amount of political contributions and the identity of the recipients as well as the titles and names of the executives who authorize the political spending. The policy transparency score measures the level of transparency in the voluntary disclosure of the policies governing corporate political spending. Board gender diversity is measured by the percentage of women on the board of directors. Findings Higher proportions of female directors are associated with more transparent disclosure of political contributions after controlling for a set of corporate governance and firm-level variables. Originality/value This study is the first to examine whether and how gender-diversified boards enhance the transparency of CPD. It contributes to the literature by providing evidence that gender-diversified boards enhance corporate governance.

The role of national culture in the impact of board gender diversity on firm performance: evidence from a multi-country study

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Navaz Naghavi ◽  
Saeed Pahlevan Sharif ◽  
Hafezali Bin Iqbal Hussain
Keyword(s):  
Corporate Governance ◽  
Firm Performance ◽  
Generalized Method Of Moments ◽  
Gender Diversity ◽  
Governance Structure ◽  
Corporate Governance Structure ◽  
Data Set ◽  
Content Type ◽  
Board Gender Diversity ◽  
The Impact

PurposeThis study seeks to add more insights to the debate on “whether”, “how”, and “under which condition” women representation on the board contributes to firm performance. More specifically, the current study aims to investigate if the effect of board gender diversity on firm performance is dependent on macro factors of national cultures.Design/methodology/approachThe authors used the generalized method of moments regression and a data set consists of 2,550 company year observations over 10 years.FindingsThe results indicated that cultural variables interact with board diversity to influence firm performance. Having women on the board in countries with high power distance, individualist, masculine and low-uncertainty avoidance culture influences the firm performance negatively.Originality/valueThe findings indicate that the effects of corporate governance structure on firm performance depends on culture-specific factors, providing support for the argument that institutional norms that are governed by cultural norms affect the effectiveness of corporate governance structure.

Female directors on corporate boards and their impact on corporate social responsibility (CSR): evidence from China

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Waqas Bin Khidmat ◽  
Muhammad Danish Habib ◽  
Sadia Awan ◽  
Kashif Raza
Keyword(s):  
Corporate Governance ◽  
Corporate Social Responsibility ◽  
Gender Diversity ◽  
State Ownership ◽  
Corporate Boards ◽  
Female Representation ◽  
Content Type ◽  
Listed Firms ◽  
Self Selection ◽  
Corporate Social

Purpose This study aims to examine the determinants of the female representations on Chinese listed firm’s boards. This study also investigates the effect of gender diversity on corporate social responsibility activities. Design/methodology/approach The Tobit regression model is used because the data is censored and using ordinary least square regression can give spurious results. For robust check, the authors also used Heckman’s (1979) two-stage self-selection model to remove the sample self-selection bias. Findings The authors find that the female representations on the corporate board are positively associated with firm age, firm performance, corporate governance, family ownership, institutional ownership and managerial ownership while negatively related to firm size and state ownership. This study also incorporates predictors of the critical mass of women on the Chinese listed firm’s board. The study also tests the female-led hypothesis and concludes that the female representation increases in firms with female chief executive officer (CEO) or female chairpersons. The Chinese listed firms with gender-diverse board are socially responsible. Research limitations/implications The importance of diversity in corporate boards has been demonstrated in light of the agency theory and the resource dependence framework. The results contribute to the previous literature by documenting the determinants of female representations on board, robust by alternative measures of gender diversity, firm size, corporate governance and estimation techniques. Practical implications The economic significance of gender diversity stirred the firms to increase female representation. The policymakers can understand the reasons for female underrepresentation in Chinese boards and can reform the regulation to enhance governance quality, non-state ownership and risk aversion among the listed firms. Originality/value This study contributes to the literature by providing empirical evidence on the key predictor of the world’s largest emerging economy, specifically the study focuses on the firm specific determinants, different governance attributes, ownership structure and firm risk measures. This study also seeks to answer if the presence of a female in the Chairperson or CEO position encourages the firms to hire more female directors or not?

scholarly journals Board gender diversity and environmental, social and governance performance of US banks: moderating role of environmental, social and corporate governance controversies

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohammad Hassan Shakil ◽  
Mashiyat Tasnia ◽  
Md Imtiaz Mostafiz
Keyword(s):  
Corporate Governance ◽  
Fixed Effects ◽  
Resource Dependence ◽  
Gender Diversity ◽  
Corporate Boards ◽  
Omitted Variables ◽  
Content Type ◽  
Dynamic Panel Regression ◽  
Board Gender Diversity

PurposeGender diversity in corporate boards is broadly studied in existing corporate governance literature. However, the role of board gender diversity on environmental, social and governance (ESG) performance of the banks is still unaccounted for. Drawing on resource dependence and legitimacy theory, this study addresses this pressing research issue. Moreover, investigation of ESG controversies as a moderator paves the existing corporate governance research to the new avenues.Design/methodology/approachData were sourced from Refinitiv database on 37 US banks from the period of 2013 to 2017. This study employs static and dynamic panel regression models that include random effects, fixed effects and dynamic generalised method of moments (GMMs) to test the hypotheses. Furthermore, system GMM is used to reduce the issue of endogeneity, measurement error, omitted variables bias and bank-specific heterogeneity.FindingsWe identify a significant positive relationship between board gender diversity and the ESG performance of US banks. However, the result propounds non-significant moderating effect of ESG controversies on the board gender diversity–ESG performance nexus.Originality/valueLiterature on board gender diversity and ESG separately and predominantly explains firm/bank's financial performance. This study is one of the pioneering attempts to explain the role of board gender diversity on ESG performance. Although incremental, however, this study also contributes to the literature on ESG in the US context.

scholarly journals Corporate governance and dividend pay-out policy in UK listed SMEs

2017 ◽  
Vol 25 (4) ◽  
pp. 459-483 ◽  
Author(s):  
Mohamed H. Elmagrhi ◽  
Collins G. Ntim ◽  
Richard M. Crossley ◽  
John K. Malagila ◽  
Samuel Fosu ◽  
...  
Keyword(s):  
Corporate Governance ◽  
Fixed Effects ◽  
Audit Committee ◽  
Gender Diversity ◽  
Negative Relationship ◽  
Corporate Board ◽  
Board Size ◽  
Content Type ◽  
Board Gender Diversity ◽  
Alternative Investment

Purpose The purpose of this paper is to examine the extent to which corporate board characteristics influence the level of dividend pay-out ratio using a sample of UK small- and medium-sized enterprises from 2010 to 2013 listed on the Alternative Investment Market. Design/methodology/approach The data are analysed by employing multivariate regression techniques, including estimating fixed effects, lagged effects and two-stage least squares regressions. Findings The results show that board size, the frequency of board meetings, board gender diversity and audit committee size have a significant relationship with the level of dividend pay-out. Audit committee size and board size have a positive association with the level of dividend pay-out, whilst the frequency of board meetings and board gender diversity have a significant negative relationship with the level of dividend pay-out. By contrast, the findings suggest that board independence and CEO role duality do not have any significant effect on the level of dividend pay-out. Originality/value This is one of the first attempts at examining the relationship between corporate governance and dividend policy in the UK’s Alternative Investment Market, with the analysis distinctively informed by agency theoretical insights drawn from the outcome and substitution hypotheses.

Board gender diversity, corporate governance, and earnings management

2019 ◽  
Vol 35 (1) ◽  
pp. 37-60 ◽  
Author(s):  
Nurlan Orazalin
Keyword(s):  
Corporate Governance ◽  
Earnings Management ◽  
Management Practices ◽  
Gender Diversity ◽  
Policy Implications ◽  
Annual Reports ◽  
Public Companies ◽  
Content Type ◽  
Weak Evidence ◽  
Board Gender Diversity

Purpose The purpose of this study is to examine whether board gender diversity and other board characteristics affect earnings management practices of top public companies in Kazakhstan. Design/methodology/approach The study analyzes data of top public companies for the period 2010-2016. Data on corporate governance were manually collected from annual reports and investment memorandums, and financial data were collected from audited financial statements. Findings The empirical results show that companies with greater board gender diversity are more effective in constraining earnings management. The findings also indicate that companies with larger boards adopt a more restrained approach to earnings management practices, thus supporting the theoretical framework of the study. However, the results provide weak evidence of the association between board independence and earnings quality. Originality/value This study is the first to investigate the relationship between gender diversity and earnings management in emerging markets such as Kazakhstan that offers managerial and policy implications.

scholarly journals Can board gender diversity promote corporate social performance?

2017 ◽  
Vol 17 (5) ◽  
pp. 789-802 ◽  
Author(s):  
Khine Kyaw ◽  
Mojisola Olugbode ◽  
Barbara Petracci
Keyword(s):  
Emerging Markets ◽  
Corporate Social Performance ◽  
Social Performance ◽  
Critical Mass ◽  
Gender Diversity ◽  
Corporate Boards ◽  
Content Type ◽  
Clear Cut ◽  
Board Gender Diversity ◽  
Corporate Social

Purpose This paper examines if gender diversity on corporate boards promotes corporate social performance (CSP) across industries and across countries. Design/methodology/approach Fixed-effect panel models are estimated using Europe-wide data from 2002 through 2013. Instrumental variable estimation and propensity score matching are also used to control for potential endogeneity. Findings Board gender diversity (BGD) improves environmental and social performance and consequently the CSP. Although the positive effect of gender diversity is prevalent across industries, the effect is more pronounced for firms in emerging markets. Practical implications The findings suggest that gender law that fosters gender diversity can promote CSP in firms, and the benefit can be enjoyed with just an introduction of one female director to the board. Promotion of gender diversity in Europe is most beneficial in emerging markets. Originality/value The results provide new insights to the literature, as we find that a critical mass of female directors on boards is not required to promote CSP. The research also highlights that BGD enhances CSP irrespective of the industry, and the effect on CSP is more pronounced in emerging markets where regulations regarding CSR are not so clear-cut.

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