Abstract
This study takes a cognitive approach to explain the how, when, and why” of women directors’ impact on firm behaviors and outcomes. Specifically, by integrating insights from upper echelons and signaling theories, we explore how multiple cognitive processes interact to influence the attention and priorities of boards. Using a panel of S&P 500 firms observed from 2001-2010, we predict and find that the number of women on the board is positively related to firms' corporate attention to community stakeholders. Further, we find that stakeholder-related signals from the firm (i.e. voluntary initiative membership, deviation from prior financial performance) moderate the aforementioned relationship. Taken together, our findings suggest that perceptions about the firm interact with cognitive biases of directors to ultimately decide where boards (and firms) direct their attention.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
