Corporate Board Diversity and Firm Performance: Evidence from Nigeria

Augustine Ujunwa (), Chinwe Okoyeuzu and Ifeoma Nwakoby
Additional contact information
Ifeoma Nwakoby: University of Nigeria Nsukka

REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, 2012, vol. 13, issue 4, 605-620

Abstract: This paper investigates the impact of corporate board diversity on the financial performance of Nigerian quoted firms using a panel data of 122 quoted Nigerian firms. Aspects of board diversity studied comprise board nationality, board gender and board ethnicity. The Fixed Effect Generalised Least Square Regression is used to examine the impact of board diversity on firm performance for the period: 1991-2008. The results show that gender diversity was negatively linked with firm performance, while board nationality and board ethnicity were positive in predicting firm performance. One of the policy implications of our findings is that foreign board members provide a firm with better qualified candidates who have broader industry experience. Additionally, the presence of women on the board could be perceived by shareholders as a sign of impending significant change, thereby making them more confident in the company’s success, which results in increase in share price.

Keywords: Corporate Governance; Board Diversity; Firm Performance. (search for similar items in EconPapers)
JEL-codes: M10 M12 (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (22)

Downloads: (external link)
https://www.rmci.ase.ro/no13vol4/10.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:rom:rmcimn:v:13:y:2012:i:4:p:605-620

Access Statistics for this article

REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT is currently edited by Marian Nastase

More articles in REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT from Faculty of Management, Academy of Economic Studies, Bucharest, Romania Contact information at EDIRC.
Bibliographic data for series maintained by Marian Nastase ().