Research Article
Does Gender Diversity Drive Financial Performance? Empirical Evidence in Indonesia
@INPROCEEDINGS{10.4108/eai.13-9-2023.2341180, author={Deska Kharisma Novita and Agus Satrya Wibowo and Muhammad Ichsan Diarsyad}, title={Does Gender Diversity Drive Financial Performance? Empirical Evidence in Indonesia}, proceedings={Proceedings of the 6th International Conference of Economics, Business, and Entrepreneurship, ICEBE 2023, 13-14 September 2023, Bandar Lampung, Indonesia}, publisher={EAI}, proceedings_a={ICEBE}, year={2023}, month={12}, keywords={gender diversity financial performance resource dependency theory}, doi={10.4108/eai.13-9-2023.2341180} }- Deska Kharisma Novita
Agus Satrya Wibowo
Muhammad Ichsan Diarsyad
Year: 2023
Does Gender Diversity Drive Financial Performance? Empirical Evidence in Indonesia
ICEBE
EAI
DOI: 10.4108/eai.13-9-2023.2341180
Abstract
Previous references provide evidence that Gender Diversity has a positive impact on financial performance. Gender Diversity has the potential to stimulate competitive advantages in terms of innovation and improved problem-solving abilities. The purpose of this study is to explore the relationship between gender diversity and financial performance. This study utilizes panel data with 88 observational samples from companies listed in the Indonesian Stock Exchange's LQ45 index during 2019-2022 period. The Fixed Effect Model is considered the most suitable model compared to OLS or random effect models. Empirical evidence demonstrates that gender diversity has been proven to drive an enhancement in financial performance. The findings of this research contribute to the understanding of the importance of gender diversity in decision-making, which triggers team dynamics and collaboration within a company. Future research is expected to test this model in the context of companies with strict regulations, such as the banking sector.
