Abstract
This chapter investigates the influence of gender diversity on boards of directors on carbon performance, taking into account the moderating impact of prevailing patriarchal attitudes across countries and years. Using a dataset comprising 665 listed firms from 17 European countries over the period 2005 to 2019, our findings reveal a positive relationship between the presence of women on boards and an improvement in carbon performance. Furthermore, we find that the negative moderating effect of patriarchal attitudes attenuates and, in some cases, reverses the positive relationship between gender diversity on boards and carbon performance. This study contributes significantly to the existing literature in two ways. First, it employs greenhouse gas (GHG) emissions as a novel measure of carbon performance in the corporate governance context, providing a more robust assessment. Secondly, it innovatively incorporates patriarchal attitudes as a proxy for gender-related cultural factors, introduced as a moderating variable in the relationship between gender diversity and carbon performance.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Abad, D., Lucas-Pérez, M. E., Mínguez-Vera, A., & Yagüe, J. (2017). Does gender diversity on corporate boards reduce information asymmetry in equity markets? Business Research Quarterly, 20(3), 192–205. https://doi.org/10.1016/j.brq.2017.04.001
Adams, R. B., & Funk, P. (2012). Beyond the glass ceiling: Does gender matter? Management Science, 58(2), 219–235. https://doi.org/10.1287/mnsc.1110.1452
Adams, R. B., Licht, A. N., & Sagiv, L. (2011). Shareholders and stakeholders: How do directors decide? Strategic Management Journal, 32(12), 1331–1355. https://doi.org/10.2139/ssrn.1549482
Aguilera, R. V., Rupp, D. E., Williams, C. A., & Ganapathi, J. (2007). Putting the S back in corporate social responsibility: A multilevel theory of social change in organizations. Academy of Management Review, 32(3), 836–863.
Arellano, M. (2003). Panel data econometrics. Oxford University Press.
Arellano, M., & Bover, O. (1995). Another look at the instrumental variable estimation of error-components models. Journal of Econometrics, 68(1), 29–51. https://doi.org/10.1016/0304-4076(94)01642-D
Atif, M., Hossain, M., Alam, M. S., & Goergen, M. (2021). Does board gender diversity affect renewable energy consumption? Journal Corporate Finance, 66, 101665.
Atif, M., Liu, B., & Huang, A. (2019). Does board gender diversity affect corporate cash holdings? Journal of Business, Finance & Accounting, 46(7–8), 1003–1029. https://doi.org/10.1111/jbfa.12397
Ben-Amar, W., Chang, M., & McIlkenny, P. (2017). Board gender diversity and corporate response to sustainability initiatives: Evidence from the carbon disclosure project. Journal of Business Ethics, 142(2), 369–383. https://doi.org/10.1007/s10551-015-2759-1
Bernardi, R. & Threadgill, V. (2010). Women directors and corporate social responsibility. EJBO: Electronic Journal of Business Ethics and Organizational Studies,15(2), 15–21.
Blundell, S., & Bond, R. (1998). Initial conditions and moment restrictions in dynamic panel data models. Journal of Econometrics, 87(1), 115–143.
Botta, M. (2020). Financial crises, debt overhang, and firm growth in transition economies. Applied Economics, 52(40), 4333–4350. https://doi.org/10.1080/00036846.2020.1734184
Brahma, S., Nwafor, C., & Boateng, A. (2020). Board gender diversity and firm performance: The UK evidence. International Journal of Finance & Economics, 1–16. https://doi.org/10.1002/ijfe.2089
Bruckmüller, S., & Branscombe, N. R. (2010). The glass cliff: When and why women are selected as leaders in crisis contexts. British Journal of Social Psychology, 49(3), 433–451. https://doi.org/10.1348/014466609X466594
Busch, T., & Lewandowski, S. (2018). Corporate carbon and financial performance. A meta-analysis. Journal of Industrial Ecology, 22(4), 745–759. https://doi.org/10.1111/jiec.12591
Cabeza-García, L., Del Brio, E. B., & Rueda, C. (2019). Legal and cultural factors as catalysts for promoting women in the boardroom. Business Research Quarterly, 22(1), 56–67. https://doi.org/10.1016/j.brq.2018.06.004
Carter, D. A., D’Souza, F., Simkins, B. J., & Simon, W. G. (2010). The gender and ethnic diversity of US boards and board committees and firm financial performance. Corporate Governance: An International Review, 18(5), 396–414. https://doi.org/10.1111/j.1467-8683.2010.00809.x
Castro, P., Tascón, M. T., & Corral, S. (2023). Can patriarchal attitudes moderate the relation between women on boards and firm economic performance? European Research on Management and Business Economics, 29(3), 100222.
Clarkson, P. M., Li, Y., Pinnuck, M., & Richardson, G. D. (2015). The valuation relevance of greenhouse gas emissions under the European Union carbon emissions trading scheme. European Accounting Review, 24(3), 551–580.
Davis, L. S., & Williamson, C. R. (2019). Does individualism promote gender equality? World Development, 123, 1–16. https://doi.org/10.1016/j.worlddev.2019.104627
Dezsö, C. L., & Ross, D. G. (2012). Does female representation in top management improve firm performance? A panel data investigation. Strategic Management Journal, 33(9), 1072–1089. https://doi.org/10.1002/smj.1955
Diehl, A. B., Stephenson, A. L., Dzubinski, L. M., & Wang, D. C. (2020). Measuring the invisible: Development and multi-industry validation of the gender bias scale for women leaders. Human Resource Development Quarterly, 31(3), 249–280. https://doi.org/10.1002/hrdq.21389
Eagly, A. H., & Wood, W. (2012). Social role theory. Handbook of Theories of Social Psychology, 2, 458–476.
Eagly, A. H., Wood, W., & Diekman, A. B. (2000). Social role theory of sex differences and similarities: A current appraisal. The Developmental Social Psychology of Gender, 12(174), 9781410605245–12.
Elmagrhi, M. H., Ntim, C. G., Elamer, A. A., & Zhang, Q. (2019). A study of environmental policies and regulations, governance structures, and environmental performance: The role of female directors. Business Strategy and the Environment, 28(1), 206–220. https://doi.org/10.1002/bse.2250
European Parliament. (2017). Resolution of 14 March 2017 on equality between women and men in the European Union in 2014–2015 (2016/2249(INI)).
European Commission. (2020). Paris Agreement | Climate Action.
Fan, P., Qian, X., & Wang, J. (2023). Does gender diversity matter? Female directors and firm carbon emissions in Japan. Pacific-Basin Finance Journal, 77, 101931.
Fernández-Gago, R., Cabeza-García, L., & Nieto, M. (2018). Independent directors’ background and CSR disclosure. Corporate Social Responsibility and Environmental Management, 25, 991–1001. https://doi.org/10.1002/csr.1515
Heilman, M. E. (2001). Description and prescription: How gender stereotypes prevent women’s ascent up the organizational ladder. Journal of Social Issues, 57(4), 657–674. https://doi.org/10.1111/0022-4537.00234
Herbohn, K., Gao, R., & Clarkson, P. (2019). Evidence on whether banks consider carbon risk in their lending decisions. Journal of Business Ethics, 158, 155–175. https://doi.org/10.1007/s10551-017-3711-3
Hillman, A. J., Shropshire, C., & Cannella, A. A. (2007). Organizational predictors of women on corporate boards. Academy of Management Journal, 50(4), 941–952. https://doi.org/10.5465/amj.2007.26279222
Hofstede, G. (2011). Dimensionalizing cultures: The Hofstede model in context. Online Readings in Psychology and Culture, 2(1), 1–26. https://doi.org/10.9707/2307-0919.1014
Hoobler, J. M., Masterson, C. R., Nkomo, S. M., & Michel, E.J. (2018). The business case for women leaders: Meta-analysis, research critique, and path forward. Journal of Management, 2473–2499. https://doi.org/10.1177/0149206316628643
Huffman, M. L., Cohen, P. N., & Pearlman, J. (2010). Engendering change: Organizational dynamics and workplace gender desegregation 1975–2005. Administrative Science Quarterly, 55, 255–277. https://doi.org/10.2189/asqu.2010.55.2.255
Inglehart, R., Haerpfer, C., Moreno, A., Welzel, C., Kizilova, K., Diez-Medrano, J., Lagos, M., Norris, P., Ponarin, E., Puranen, B., et al. (Eds.) (2020a) World values survey: Round five-country-pooled datafile version. JD Systems Institute. Available at: http://www.worldvaluessurvey.org/WVSDocumentationWV5.jsp
Inglehart, R., Haerpfer, C., Moreno, A., Welzel, C., Kizilova, K., Diez-Medrano, J., Lagos, M., Norris, P., Ponarin, E., Puranen, B., et al. (Eds.) (2020b). World values survey: Round six-country-pooled datafile version. JD Systems Institute. Available at: http://www.worldvaluessurvey.org/WVSDocumentationWV6.jsp
Inglehart, R., Haerpfer, C., Moreno, A., Welzel, C., Kizilova, K., Diez-Medrano, J., Lagos, M., Norris, P., Ponarin, E., Puranen, B., et al. (Eds.) (2020c). World values survey: Round seven-country-pooled datafile version. JD Systems Institute. Available at: http://www.worldvaluessurvey.org/WVSDocumentationWV7.jsp
Jeong, S. H., & Harrison, D. A. (2017). Glass breaking, strategy making, and value creating: Meta-analytic outcomes of women as CEOs and TMT members. Academy of Management Journal, 60(4), 1219–1252. https://doi.org/10.5465/amj.2014.0716
Johnson, J. L., Daily, C. M., & Ellstrand, A. E. (1996). Boards of directors: A review and research agenda. Journal of Management, 22(3), 409–438. https://doi.org/10.1016/S0149-2063(96)90031-8
Kim, Y. B., An, H. T., & Kim, J. D. (2015). The effect of carbon risk on the cost of equity capital. Journal of Cleaner Production, 93, 279–287. https://doi.org/10.1016/j.jclepro.2015.01.006
Li, H., & Chen, P. (2018). Board gender diversity and firm performance: The moderating role of firm size. Business Ethics: A European Review, 27(4), 294–308. https://doi.org/10.1111/beer.12188
Li, R., & Ramanathan, R. (2018). Impacts of industrial heterogeneity and technical innovation on the relationship between environmental performance and financial performance. Sustainability, 10(5), 1653.
Liao, Z., Zhang, M., & Wang, X. (2019). Do female directors influence firms’ environmental innovation? The moderating role of ownership type. Corporate Social Responsibility and Environmental Management, 26(1), 257–263. https://doi.org/10.1002/csr.1677
Liu, C. (2018). Are women greener? Corporate gender diversity and environmental violations. Journal Corporate Finance, 52, 118–142. https://doi.org/10.1016/j.jcorpfin.2018.08.004
Loyd, D. L., Wang, C. S., Phillips, K. W., & Lount, R. B., Jr. (2013). Social category diversity promotes premeeting elaboration: The role of relationship focus. Organization Science, 24(3), 757–772. https://doi.org/10.1287/orsc.1120.0761
Nguyen, T., Locke, S., & Reddy, K. (2015). Does boardroom gender diversity matter? Evidence from a transitional economy. International Review of Economics & Finance, 37, 184–202. https://doi.org/10.1016/j.iref.2014.11.022
Nuber, C., & Velte, P. (2021). Board gender diversity and carbon emissions: European evidence on curvilinear relationships and critical mass. Business Strategy and the Environment, 30(4), 1958–1992. https://doi.org/10.1002/bse.2727
Pfeffer, J. (1973). Size, composition, and function of hospital boards of directors: A study of organization-environment linkage. Administrative Science Quarterly, 349–364.
Post, C., & Byron, K. (2015). Women on boards and firm financial performance: A meta-analysis. Academy of Management Journal, 58(5), 1546–1571. https://doi.org/10.5465/amj.2013.0319
Post, C., Rahman, N., & Rubow, E. (2011). Green governance: Boards of directors’ composition and environmental corporate social responsibility. Business & Society, 50(1), 189–223. https://doi.org/10.1177/0007650310394642
Rao, K., & Tilt, C. (2016). Board diversity and CSR reporting: An Australian study. Meditari Accountancy Research, 24(2), 182–210. https://doi.org/10.1108/MEDAR-08-2015-0052
Romano, M., Cirillo, A., Favino, C., & Netti, A. (2020). ESG (environmental, social and governance) performance and board gender diversity: The moderating role of CEO duality. Sustainability, 12(21), 1–16. https://doi.org/10.3390/su12219298
Scherer, A. G., & Palazzo, G. (2007). Towards a political conception of corporate responsibility. Academy of Management Review, 32(4), 1096–1120. https://doi.org/10.5465/amr.2007.26585837
Scott, W. R. (1995). Institutions and organizations. Sage.
Shaukat, A., Qiu, Y., & Trojanowski, G. (2016). Board attributes, corporate social responsibility strategy, and corporate environmental and social performance. Journal of Business Ethics, 135, 569–585. https://doi.org/10.1007/s10551-014-2460-9
Suchman, M. C. (1995). Managing legitimacy: Strategic and institutional approaches. The Academy of Management Review, 20(3), 571–610.
Terjesen, S., Aguilera, R. V., & Lorenz, R. (2015). Legislating a woman’s seat on the board: Institutional factors driving gender quotas for boards of directors. Journal of Business Ethics, 128(2), 233–251. https://doi.org/10.1007/s10551-014-2083-1
Trumpp, C., & Guenther, T. (2017). Too little or too much? Exploring U-shaped relationships between corporate environmental performance and corporate financial performance. Business Strategy and the Environment, 26, 49–68. https://doi.org/10.1002/bse.1900
Uribe-Bohorquez, M. V., Martínez-Ferrero, J., & García-Sánchez, I. M. (2019). Women on boards and efficiency in a business-orientated environment. Corporate Social Responsibility and Environmental Management, 26, 82–96. https://doi.org/10.1002/csr.1659
Valls Martínez, M. C., Cruz Rambaud, S., & Parra Oller, I. M. (2019). Gender policies on board of directors and sustainable development. Corporate Social Responsibility and Environmental Management, 26, 1539–1553. https://doi.org/10.1002/csr.1825
Valls Martínez, M. C., Santos-Jaén, J. M., Román, R. S., & Martín-Cervantes, P. A. (2022). Are gender and cultural diversities on board related to corporate CO2 emissions? Journal of Cleaner Production, 363, 132638.
Wang, L., Li, S., & Gao, S. (2014). Do greenhouse gas emissions affect financial performance?—An empirical examination of Australian public firms. Business Strategy and the Environment, 23(8), 505–519. https://doi.org/10.1002/bse.1790
Yarram, S.R. & Adapa, S. (2021). Board gender diversity and corporate social responsibility: is there a case for critical mass? Journal of Cleaner Production, 278, 123319. https://doi.org/10.1016/j.jclepro.2020.123319
Zaid, M.A.A., Wang, M., Adib, M., Sahyouni, A., & Abuhijleh, S. T. (2020). Boardroom nationality and gender diversity: implications for corporate sustainability performance. Journal of Cleaner Production, 251, 119652. https://doi.org/10.1016/j.jclepro.2019.119652
Zhang, J. Q., Zhu, H., & Ding, H. (2013). Board composition and corporate social responsibility: An empirical investigation in the post sarbanes-oxley era. Journal of Business Ethics, 114(3), 381–392. https://doi.org/10.1007/s10551-012-1352-0
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2024 The Author(s), under exclusive license to Springer Nature Switzerland AG
About this chapter
Cite this chapter
Corral, S. (2024). Carbon Performance and Board Gender Diversity: The Moderating Effect of Patriarchal Attitudes. In: Valls Martínez, M.d.C., Santos-Jaén, J.M. (eds) Environmentally Sustainable Production. Springer, Cham. https://doi.org/10.1007/978-3-031-52656-5_17
Download citation
DOI: https://doi.org/10.1007/978-3-031-52656-5_17
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-031-52655-8
Online ISBN: 978-3-031-52656-5
eBook Packages: EngineeringEngineering (R0)