{"title":"An empirical evidence on the effect of women board representation on firm performance of companies listed in Iraq Stock Exchange","authors":"F. Jedi, Sabri Nayan","doi":"10.15208/beh.2018.10","DOIUrl":null,"url":null,"abstract":"The Iraqi stock price index performance has been on the decline which indicates a deteriorating performance of the listed companies which is mostly associated with weak corporate governance practices. Despite that fact that Iraq has gone very far in the liberalization of women, Iraqi board of directors is still dominated by men. However, gender diversity is one of the largest concepts of board diversity and a major issue within corporate governance where several studies seek to discover the influence of diversity on firm performance. Considering the inconsistencies in the results of previous studies concerning gender diversity and firm performance relationship, this lack of consensus permit for further research as it is important to investigate the factors in board processes that are crucial to board effectiveness. This article aims at examining the effect of women representation on firm performance of Iraqi listed firms using panel regression analysis. The empirical results of this paper provide evidence of a positive and significant relationship between female directors and firm performance as measured by Return on Assets while no relationship with Tobin’s q. The important policy implication of this finding is that the Iraqi Stock Exchange and Iraqi Security Commission should incorporate gender diversity in corporate governance practices and encourage women directorship in Iraq. Finally, this study provided some suggestions for future researchers.","PeriodicalId":43750,"journal":{"name":"Business and Economic Horizons","volume":null,"pages":null},"PeriodicalIF":0.0000,"publicationDate":"2018-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"6","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Business and Economic Horizons","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.15208/beh.2018.10","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"","JCRName":"","Score":null,"Total":0}
引用次数: 6
Abstract
The Iraqi stock price index performance has been on the decline which indicates a deteriorating performance of the listed companies which is mostly associated with weak corporate governance practices. Despite that fact that Iraq has gone very far in the liberalization of women, Iraqi board of directors is still dominated by men. However, gender diversity is one of the largest concepts of board diversity and a major issue within corporate governance where several studies seek to discover the influence of diversity on firm performance. Considering the inconsistencies in the results of previous studies concerning gender diversity and firm performance relationship, this lack of consensus permit for further research as it is important to investigate the factors in board processes that are crucial to board effectiveness. This article aims at examining the effect of women representation on firm performance of Iraqi listed firms using panel regression analysis. The empirical results of this paper provide evidence of a positive and significant relationship between female directors and firm performance as measured by Return on Assets while no relationship with Tobin’s q. The important policy implication of this finding is that the Iraqi Stock Exchange and Iraqi Security Commission should incorporate gender diversity in corporate governance practices and encourage women directorship in Iraq. Finally, this study provided some suggestions for future researchers.
期刊介绍:
The Business and Economic Horizons (BEH) is an international peer-reviewed journal that publishes high quality theoretical, empirical, and review papers covering the broad spectrum of research in areas of economics, business, management, and finance. The journal aim is to bridge the gap between the theory and the observed data in these constantly developing domains. BEH Editorial Board welcomes the high-quality original research articles and review papers that verify the well-grounded and the emerging theories by employing the econometric, statistical methods or other relevant empirical methods in theoretical and applied economic analysis. BEH does not discriminate articles utilizing the non-mainstream approaches such as experimental research, institutional analysis, other variations of heterodox and developmental economic studies. Therefore, the submissions in any field of micro- and macroeconomics, business ethics, economic policy or finance are appropriate for this journal. We hope, the provided contributions will help to understand the contemporary challenges faced by the private and public sector and will establish an international forum of empirical research.