The objective of this study is to examine the effects of CEO gender on female board appointments. Given the substantial influence of CEOs on director selection and board composition, this study concentrates on CEO attributes.
Using a sample of 3,001 US listed firms over the period from 1999 to 2014, this study examines the relationship between CEO gender and the appointment of female directors on corporate boards.
The results show that firms led by female CEOs appoint more female directors on their boards, consistent with the socio-psychological perspective of similarity-attraction rather than the signaling theory. Furthermore, the positive effect of female CEOs on female director appointments is stronger when the CEO's tenure is shorter and when the newly appointed female CEO succeeds a male CEO.
This study contributes to the corporate governance literature by examining the antecedents of board composition at the organizational level. As such, it provides empirical support that a CEO's needs and desires can be demand-side factors influencing the phenomenon of female director selection. This study also contributes to female leadership literature by providing a method that female CEOs can use (i.e. appointing more female directors) to overcome the difficulties they face.
