Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Female board members and company performance: Do companies with female directors perform better than companies without females on their boards? Evidence from Sweden.
Jönköping University, Jönköping International Business School, JIBS, Business Administration.
Jönköping University, Jönköping International Business School, JIBS, Business Administration.
2017 (English)Independent thesis Advanced level (degree of Master (One Year)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

Background: Females are underrepresented in Swedish boards, and in 2016 females represented 29 % of all board members. Many researchers have studied the relationship between the gender composition of company boards and company performance, but they have not managed to reach consensus in explaining the relationship. Pure shareholder theory suggests that the company philosophy is to focus on profitability and shareholder maximization. If the gender distribution in the board affects the performance of the company, some companies may underperform because of their board composition. If so, this is an issue that should be solved according to the shareholder theory and some adjustments to the composition should be done.

 

Purpose: The purpose of this study is to investigate whether or not companies with female directors on their boards perform better than companies without female directors on their boards. The target group of the study is Swedish listed companies with a statutory domicile in Sweden.

 

Method: For conducting this research, data for a period of three years (2013-2015) are collected from a sample of 94 Swedish listed companies. The performance measurements investigated are the ratios; ROE, profit margin, ROCE, EBIT margin and EPS. As for control variables, the board size and company size are used. An independent samples t-test is conducted, as well as a correlation matrix analysis and a regression analysis, to fulfil the purpose of this study.

 

Conclusion: The results show that there is a significant positive correlation between female representation in the boardroom and the ratio EBIT margin. However, the correlation strength is so weak that it is not fair to draw the conclusion that female representation has a positive effect on the financial performance of the companies. Also, the regression analysis shows no relationship between the two variables. However, this study contributes by showing that there is no negative correlation between the presence of females on boards and the financial performance of the companies. 

Place, publisher, year, edition, pages
2017.
Keywords [en]
Governance, Gender diversity, Board Composition, Financial Performance, Agency Theory, Stakeholder Theory, Resource Dependency Theory
National Category
Business Administration
Identifiers
URN: urn:nbn:se:hj:diva-36578ISRN: JU-IHH-FÖA-2-20170502OAI: oai:DiVA.org:hj-36578DiVA, id: diva2:1118857
Subject / course
IHH, Business Administration
Examiners
Available from: 2017-07-03 Created: 2017-07-02 Last updated: 2017-07-03Bibliographically approved

Open Access in DiVA

fulltext(1132 kB)295 downloads
File information
File name FULLTEXT01.pdfFile size 1132 kBChecksum SHA-512
d7420c21e9ae833153c3afd455882347a070c83ff74a87df23c78a560e33edafbcd0745eb29a6ca7ecebfd8c45c1114fee9cd857d39184cdf61171ff1c2b0965
Type fulltextMimetype application/pdf

Search in DiVA

By author/editor
Olofsson, IdaLarsson, Mikaela
By organisation
JIBS, Business Administration
Business Administration

Search outside of DiVA

GoogleGoogle Scholar
Total: 295 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

urn-nbn

Altmetric score

urn-nbn
Total: 828 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf