Study On Relationship Between Proportion Of Female Board Member And Firm Performance

Gender diversity in the boardroom is an important aspect of board diversity. However, the researches are all concentrated on the study of the efficiency on board governance by the composition of outside and inside directors, background diversity of board members (such as qualifications, knowledge, etc.).Therefore, this paper selected the perspective of gender diversity in the boardroom which was an innovative point.This paper reviewed the relevant literature, based on the theory we analyzed the governance structure of the board, the board gender diversity management efficiency and the influence that board gender diversity brought to the company performance. Theoretical basis, this paper selected accounting data and market data of listed companies in China 2002-2006, by using accounting index (ROA,ROE) and market index (PER and Tobin's Q), did empirical study of the influence on the company performance by gender diversity in the boardroom in Chinese listed companies. We expected to get some experimental evidence with academicals and practical value. Through empirical study, this paper found that the gender diversity in the boardroom and accounting performance variable (ROA and ROE), the market performance variable (PER and Tobin's Q) showed significant negative correlation. This result showed us that the gender diversity in boardroom and the company performance showed significant negative correlation.