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The determinants of the existence of a critical mass of women on boards: A discriminant analysis

Author

Listed:
  • Amélie Charles

    (Audencia Recherche - Audencia Business School)

  • Etienne Redor

    (Audencia Recherche - Audencia Business School)

  • Constantin Zopounidis

    (Audencia Recherche - Audencia Business School)

Abstract

This article contributes to the literature by examining the determinants of the existence of a critical mass of women on boards. As critical mass theory suggests, the mere presence of women on boards may not be sufficient to bring significant change to the boardroom and to improve corporate governance. While studying the determinants of female presence on boards is useful, it may be helpful to study what are the characteristics of firms that have a sufficient number of women to enhance governance. In this paper, we study the predictors of the existence of a critical mass of women on S&P 100 boards between 1995 and 2010. We show that firms with at least three female directors have larger boards, are larger, are more likely to be run by a female CEO and have a greater proportion of non-Caucasian directors. On the contrary, we were not able to show significant differences in firm performance and board independence between firms with and without a critical mass of women on their boards.

Suggested Citation

  • Amélie Charles & Etienne Redor & Constantin Zopounidis, 2015. "The determinants of the existence of a critical mass of women on boards: A discriminant analysis," Post-Print hal-01188269, HAL.
    • Handle: RePEc:hal:journl:hal-01188269
    Note: View the original document on HAL open archive server: https://audencia.hal.science/hal-01188269
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    References listed on IDEAS

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    Cited by:

    1. Anna Wawryszuk-Misztal, 2021. "Determinants of board diversity policy implementation by companies listed on the Warsaw Stock Exchange," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 16(3), pages 617-637, September.
    2. Sumedrea Silvia, 2017. "Are Cultural and Gender Diversity Drivers of Firm Performance in Post- Crises Emergent Economies?," Studia Universitatis Babeș-Bolyai Oeconomica, Sciendo, vol. 62(1), pages 61-75, April.

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    Keywords

    Women; Board; Critical mass theory;
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