Title: Cultural conditionality of board gender diversity and firm performance: evidence from Pakistan

Authors: Aisha Yusuf Mesiya; Nawaz Ahmad; Helena Nobre; Abdur Rahman Aleemi

Addresses: Institute of Business Management (IoBM), Karachi, 75190, Pakistan; Training and Development Department, Excelerate Private Limited, Karachi, Pakistan ' Shaheed Benazir Bhutto University, Shaheed Benazirabad, Pakistan; Research Unit of Governance, Competitiveness, and Public Policies (GOVCOPP), University of Aveiro, Portugal ' Department of Economics, Management, Industrial Engineering and Tourism, University of Aveiro, Portugal; Research Unit of Governance, Competitiveness, and Public Policies (GOVCOPP), University of Aveiro, Portugal ' Institute of Business Management (IoBM), Karachi, Pakistan

Abstract: Despite having almost 50% share of the total population, women have not gained equivalent representation in the senior-level workforce in Pakistan. This study attempts to look at the impact of female inclusion in the corporate boards on the performance of firms through accounting and marketing-based measurements while shedding light on the moderating effect of national culture on this relationship. The sample comprises data from 50 firms in Pakistan. A dynamic model of the generalised method of moments (two-step system) supported the data analysis. Findings indicate that firm performance is positively affected by board gender diversity. The power distance dimension of national culture interacting with the female director ratio seems to affect firm performance positively. However, this dimension, in combination with the critical mass (three women directors) variable, negatively affects performance. The other dimension of culture, masculinity-femininity interacting with the female director ratio, influences positively firm performance.

Keywords: corporate governance; female directors; critical mass theory; firm performance; board gender diversity; national culture; Pakistan.

DOI: 10.1504/IJBEX.2026.153856

International Journal of Business Excellence, 2026 Vol.39 No.1, pp.25 - 52

Received: 25 May 2021
Accepted: 26 Jun 2022
Published online: 29 May 2026 *

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