Board gender diversity as a CSR tool and financial performance in China

The board gender composition and cost of debt: Empirical evidence from Jordan

“…In addition, Croson and Gneezy (2009) and Palvia et al (2015) anticipated that behavioural differences between males and females delivered benefits to firms when both were included on corporate boards. In terms of stakeholder perspective, the distinct psychological attributes, experiences, backgrounds, beliefs, values, and leadership styles of FDs enable them to better recognise the diverse claims of stakeholders (Amadi et al, 2023). According to gender socialisation theory indicates that women are more community‐minded and caring about others as a result of their upbringing (Birindelli et al, 2019).…”

“…Previous studies demonstrated that women on boards could contribute economic benefits to businesses by providing alternative perspectives (Nadeem et al, 2020), increasing group experiences (Zattoni et al, 2022), establishing a positive corporate image and reputation (Amadi et al, 2023; Bear et al, 2010), enhancing internal and external legitimacy of a corporation (Hillman et al, 2002; Landry et al, 2016), closely monitoring strategic decision‐making of the board (Usman et al, 2019), and enhancing managerial oversight effectiveness. Apart from monitoring effectively (Aksoy & Yilmaz, 2023), WOCBs can advise executives on enhancing strategic formulation and efficient resource employment (Arora & Soni, 2023), benefiting stakeholders (including debtholders) by establishing an effective governance framework (Ghaleb et al, 2021; Tanaka, 2014), specifically, board effectiveness (Kirsch, 2018) and improving the transparency of financial reporting (Aribi et al, 2018).…”

“…Nonetheless, most scholars agreed that BGC strengthen good governance practices (Tanaka, 2014), by enhancing the oversight function of the board of directors (Terjesen et al, 2016), boards independence and efficiency which could lessen conflicts between owners and stakeholders (Bradley & Chen, 2015), including creditors (La Porta et al, 2000; Usman et al, 2019) by decreasing the default risk and agency costs (Mohsni et al, 2021). Numerous studies worldwide explored the economic benefit of WOCBs (Elmagrhi et al, 2019) by considering shareholders' perspectives and concentrating on corporate performance (Li & Chen, 2018), CSR performance and sustainability (ESG) performance (Amadi et al, 2023; Disli et al, 2022) but there is little evidence concerning the function (role) of female directors (FD) in corporate financial decisions (Oyotode‐Adebile & Raja, 2019), which highlights a gap in the existing literature.…”