Product market competition, board gender diversity and corporate sustainability performance: international evidence

性别多样性 持续性 企业可持续发展 公司治理 会计 业务 企业社会责任 多样性(政治) 可持续性报告 竞赛(生物学) 内生性 独创性 面板数据 经济 产业组织 财务 公共关系 生物 人类学 生态学 社会学 政治学 计量经济学 法学 创造力
作者
Khairul Anuar Kamarudin,Akmalia M. Ariff,Wan Adibah Wan Ismail,Khairul Anuar Kamarudin,Akmalia M. Ariff,Wan Adibah Wan Ismail
出处
期刊:Journal of Financial Reporting and Accounting [Emerald Publishing Limited]
卷期号:20 (2): 233-260 被引量:58
标识
DOI:10.1108/jfra-01-2021-0020
摘要

Purpose This study aims to investigate whether board gender diversity is associated with corporate sustainability performance and whether industry-level product market competition moderates the effect of board gender diversity on corporate sustainability performance. Design/methodology/approach This study uses international data extracted from global ESG data set from Thomson Reuters (Refinitiv) database. Using data of 23,137 firm-year observations from 37 countries, the authors perform regression analyses to examine the hypotheses. Findings The findings show that firms with high board gender diversity exhibit high corporate sustainability performance. The authors also find firms in highly competitive industries to have low corporate sustainability performance. In highly competitive industries, the positive relationship between board gender diversity and corporate sustainability performance is weakened. The results are robust to various specification tests such as alternative measures for corporate sustainability performance, board gender diversity, product market competition and also the use of propensity score matching to address endogeneity issue. Overall, the results support the prediction that board diversity and product market competition play a substitutive role in influencing corporate sustainability performance. Research limitations/implications This study offers empirical evidence that the appointment of female directors is a useful way to improve a firm’s corporate sustainability performance, hence, providing significant benefits in terms of stakeholders’ values and corporate reputation. Practical implications This study provides useful insights to investors and policymakers that intense industry competition might mitigate the role of board governance, particularly board gender diversity, in enhancing corporate sustainability performance. Originality/value Using an international data set, where the observations operate in various market and institutional differences, this study is able to extricate the positive impact of board gender diversity and product market competition on corporate sustainability performance. This study corroborates evidence that sustainability strategy and initiatives are reflections of integrated factors, including corporate governance as internal driver and market forces faced by firms as external driver.
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