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More women in the boardroom

More women in the boardroom

Organizations with female board members enjoy various benefits, ranging from better decision-making to tempering the overconfidence of male CEOs. Organizations with greater boardroom diversity are stronger and perform better in complex environments and crisis situations.

  • Less aggressive risk-taking

Better acquisition and investment decisions

  • Better performance during crises

Measured by firm value, return on assets and return on equity

  • Male CEO overconfidence is tempered

Better decision-making overall

More women in the boardroom


  • Greater diversity of viewpoints
  1. Improved quality of board deliberations
  2. Better decisions on compelx issues
  • Female directors are less conformist and more likely to express independent views
  1. Consideration of a wider range of options
  2. Better assessment of pros and cons
  3. Correction of potentially biased beliefs
  • Greater impact on specific industries
  1. Construction
  2. Pharmaceuticals
  3. Software
  4. Coal

Marc Goergen. Professor of Finance. IE Business School
Jie Chen. Professor of Finance. Leeds University Business School
Woon Sau Leung. Professor of Finance. University of Edinburgh Business School
Wei Song. Professor of Finance. Southampton Business School


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