Impact of board size and board diversity on firm value: Australian evidence
By Hoa Nguyen, R. Faff. 2007
194 citations recorded by the source corpus.
The aim of this paper is to provide a preliminary analysis of the relationship between firm market value and the size and gender diversity of a board of directors for a sample of publicly listed Australian firms. Our results show that smaller boards appear to be more effective in representing the shareholders as smaller boards are associated with higher firm value. As board size increases firm value declines, however at a decreasing rate suggesting that the relationship between board size and firm value is not strictly linear. Our findings further indicate that gender diversity promotes shareholders' value as the presence of women directors is associated with higher firm value.
Subfields: Accounting, Gender Studies, Organizational Behavior and Human Resource Management
View Paper: https://www.semanticscholar.org/paper/4e54809688a4bb45ace2fe029f3a49164b1e6bfe
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In Accounting
In Gender Studies
In Organizational Behavior and Human Resource Management
Citations in the corpus
- Women on board and performance of family firms: Evidence from India (2015, unknown): “Studies that find a positive effect of women directors on firm performance (Carter et al., 2003; Nguyen and Faff, 2007; Campbell and Minguez-Vera, 2008; Adams and Ferreira, 2009; Lukerath-Rovers, 2013; Liu et al., 2014; Nguyen et al., 2015) co-exist with studies that find no effect (Hussein and…”
- Corporate governance and dividend pay-out policy in UK listed SMEs: The effects of corporate board characteristics (2017, unknown): “The evidence of a negative BG-DP1 nexus offers support for the findings of past studies (Smith et al., 2006; Nguyen & Faff, 2007; Julizaerma & Sori, 2012; Ntim, 2015), which suggest that gender-diverse boards provide better monitoring over managers and improve firm performance.”
- Does Board Gender Diversity Have a Financial Impact? Evidence Using Stock Portfolio Performance (2013, background): “In a sample of firms with diverse boards in 2000–2001, diversity was associated with a higher Tobin’s Q (Nguyen and Faff 2007).”
- The Influence of Institutional and Government Ownership on Firm Performance: Evidence from Kuwait (2012, background): “Following the literature, board size (Christensen et al., 2010; Nguyen & Faff, 2007), role duality (Haniffa & Hudaib, 2006), audit quality (Aljifri & Moustafa, 2007), dividend payouts (Aljifri & Moustafa, 2007), firm size (Christensen et al., 2010; Gurbuz et al., 2010; Haniffa & Hudaib, 2006), firm…”