IT investment and Firm Performance: The Role of Board Gender Diversity

Abstract

While the U.S. government requires diversity in providing equal opportunities, it is still doubtful how such governance-related corporate enforcement affects firm performance. This study investigates how gender diversity, the proportion of female board members in a firm, moderates the impact of IT investment on firm performance. We found a positive moderating effect of gender diversity on the effect of IT investment on firm performance. We believe that this study contributes to existing IS and corporate governance studies. In addition, it provides managerial and practical implications by providing empirical evidence of the effect of board diversity and IT investment and how their interaction leads to positive firm performance.