Board director disciplinary and cognitive influence on corporate value creation

Abstract

Purpose This paper aims to investigate board director disciplinary and cognitive influence on corporate value creation. Design/methodology/approach Fixed-effect regressions are used to check whether gender diversity, education, independence and size of the board of directors affect measures of corporate value creation. Findings The empirical results show that corporate value creation is positively influenced by the cross effect of the board independence and the presence of women. They also point out a positive impact of the cross effect of board independence and management education. They reveal that the board of directors contributes significantly to corporate value creation, particularly when there is a mix of independent, female and management-qualified directors. Originality/value The evidence presented and discussed in this paper should be of interest to managers and regulators. The methodological approach and the empirical results extend the existing literature. They enrich the limited empirical research devoted to this theme, especially in a continental European context, i.e. France. They shed light on the effect of board of directors’ disciplinary and cognitive influence on corporate value creation.