Politická ekonomie
Politická ekonomie
Prague Economic Papers
University of Economics, Prague

Prague Economic Papers Vol. 28 No. 3

Female Leadership and Firm Performance

DOI: https://doi.org/10.18267/j.pep.695

[full text (PDF)]

Arlette Beltran

This study explores whether companies´ experience benefits when the firm’s CEO and owner are both women. It employs data from the 2009–2014 World Bank Enterprise Surveys (WBES) to measure firms’ performance through growth in sales and productivity. Potential endogeneity was corrected by using the UN Gender Development Index and the average fertility rate as they comply with the exclusion restrictions. The paper uses the Control Function method with a Probit first stage estimation and an OLS main equation. The findings suggest that a female owner strengthens the female CEO’s business skills and leads to better firm performance than when the CEO is a woman and the owner is a man.

Keywords: cross-country data, firm performance, gender, statistical discrimination

JEL Classification: J16, L25, M51, O10

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