Gender Diversity in Corporate Leadership and Firm Financial Performance in Germany
DOI:
https://doi.org/10.47604/ijlg.2694Keywords:
Gender Diversity, Corporate Leadership, Firm Financial PerformanceAbstract
Purpose: The aim of the study was to analyze the gender diversity in corporate leadership and firm financial performance in Germany.
Methodology: This study adopted a desk methodology. A desk study research design is commonly known as secondary data collection. This is basically collecting data from existing resources preferably because of its low cost advantage as compared to a field research. Our current study looked into already published studies and reports as the data was easily accessed through online journals and libraries.
Findings: Gender diversity in corporate leadership is consistently linked to higher firm financial performance. Companies with more women in executive roles tend to show increased profitability and better financial returns. Diverse leadership teams bring varied perspectives that enhance decision-making and innovation. They also attract top talent more effectively, contributing to sustained competitive advantage.
Unique Contribution to Theory, Practice and Policy: Resource-based view (RBV), social identity theory & agency theory be used to anchor future studies on gender diversity in corporate leadership and firm financial performance in Germany. Organizations should design and implement leadership development programs that specifically aim to identify and nurture female talent. Policymakers should develop and enforce guidelines that encourage gender diversity in corporate leadership.
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