The reasons for women's poor representation on boards of directors continue to be mostly the same. Increasing the presence of women on corporate boards is a business imperative: adding women on boards can have an important signaling effect to employees, shareholders, and the external business community. A 2007 study by Stephen Brammer, Andrew Millington, and Stephen Pavelin found more women on the boards of retail establishments, utilities, media organizations, and banking firms and suggested that close proximity to final consumers can explain the role of women in shaping board diversity. In their immediate past study, researchers found only modest improvement in board diversity in Tennessee publicly traded corporations compared to the results of their original study in 1995. Perhaps if the business community of Tennessee became aware of recent profitability studies, CEOs would acknowledge that gender diversity brings value and profitability to a corporation. CEOs are focused on profitability and the bottom line. Gender diversity offers value and profitability to the bottom line.
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"Still Chilly After All These Years: A Longitudinal Study of Corporate Board Composition in Tennessee"Please download to view full document