The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies

This study examines the effect of gender diversity and board diversity on Malaysian firm performance. This study is different from other studies because instead of using publicly listed companies, it uses 3,735 private companies over 2009–2014. We find that gender has no significant effect on the fi...

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Main Authors: Brahmana, Rayenda Khresna, Mohd Waliuddin, Mohd Razali
Format: Article
Language:English
Published: De La Salle University 2017
Subjects:
Online Access:http://ir.unimas.my/id/eprint/18124/
http://ir.unimas.my/id/eprint/18124/1/The%20Role%20of%20Gender.pdf
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author Brahmana, Rayenda Khresna
Mohd Waliuddin, Mohd Razali
author_facet Brahmana, Rayenda Khresna
Mohd Waliuddin, Mohd Razali
author_sort Brahmana, Rayenda Khresna
building UNIMAS Institutional Repository
collection Online Access
description This study examines the effect of gender diversity and board diversity on Malaysian firm performance. This study is different from other studies because instead of using publicly listed companies, it uses 3,735 private companies over 2009–2014. We find that gender has no significant effect on the firm performance but firm’s characteristics such as firm age, firm’s size, liquidity, and leverage have significant effects on the firm performance. Our research further indicates that ethnic diversity in the board of directors may give better performance to companies. This research implies two important findings for the policy makers. First, the encouragement of gender equality to private companies by policy maker may fail as it does not have any impact. Second, policy maker should not consider ethnic diversity in the board as part of policy because it may reduce the firm performance.
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spelling unimas-181242022-06-08T07:59:28Z http://ir.unimas.my/id/eprint/18124/ The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies Brahmana, Rayenda Khresna Mohd Waliuddin, Mohd Razali HG Finance This study examines the effect of gender diversity and board diversity on Malaysian firm performance. This study is different from other studies because instead of using publicly listed companies, it uses 3,735 private companies over 2009–2014. We find that gender has no significant effect on the firm performance but firm’s characteristics such as firm age, firm’s size, liquidity, and leverage have significant effects on the firm performance. Our research further indicates that ethnic diversity in the board of directors may give better performance to companies. This research implies two important findings for the policy makers. First, the encouragement of gender equality to private companies by policy maker may fail as it does not have any impact. Second, policy maker should not consider ethnic diversity in the board as part of policy because it may reduce the firm performance. De La Salle University 2017 Article PeerReviewed text en http://ir.unimas.my/id/eprint/18124/1/The%20Role%20of%20Gender.pdf Brahmana, Rayenda Khresna and Mohd Waliuddin, Mohd Razali (2017) The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies. Business and Economic Review, 26 (2). pp. 13-24. ISSN 0116-7111 https://ejournals.ph/article.php?id=11283
spellingShingle HG Finance
Brahmana, Rayenda Khresna
Mohd Waliuddin, Mohd Razali
The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies
title The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies
title_full The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies
title_fullStr The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies
title_full_unstemmed The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies
title_short The Role of Gender and Ethnic Diversity on the Performance of Malaysian Private Companies
title_sort role of gender and ethnic diversity on the performance of malaysian private companies
topic HG Finance
url http://ir.unimas.my/id/eprint/18124/
http://ir.unimas.my/id/eprint/18124/
http://ir.unimas.my/id/eprint/18124/1/The%20Role%20of%20Gender.pdf