Skip to main content
Top

Hint

Swipe to navigate through the articles of this issue

Published in: Eurasian Business Review 4/2022

12-05-2022 | Regular Article

Board diversity and financial statement comparability: evidence from China

Authors: Ding Ning, Irfan-Ullah, Muhammad Ansar Majeed, Aurang Zeb

Published in: Eurasian Business Review | Issue 4/2022

Login to get access
share
SHARE

Abstract

We investigate the relationship between board diversity (relation-oriented diversity, task-oriented diversity, and overall board diversity) and financial statement comparability. We find that diverse boards are positively associated with financial statement comparability, suggesting that board diversity improves governance mechanisms by alleviating agency conflicts, leading to higher comparability than homogenous boards. We also find that institutional ownership positively affects the association between board diversity and financial statement comparability. Furthermore, the positive effect of diversity, institutional ownership, and comparability are more pronounced in non-state-owned firms and non-crisis periods. Our findings remain consistent with a battery of econometric techniques and measures of comparability. This study provides new insights regarding the role of boardroom diversity in shaping the qualitative aspect of financial reporting, i.e., financial statement comparability.
Appendix
Available only for authorised users
Footnotes
1
Certain European countries introduced gender-based quotes and non-compliance could result in delisting. However, in US companies are required to define the diversity where some firms may consider gender, age and race as diversity and others may consider tenure and expertise as diversity.
 
2
ST and PT refers to special treatment and particular treatment firms. The firm is labeled as ST if its recent financial profit is negative for two consecutive years. ST firms will be relabeled as PT if it is unable to be revived within two years.
 
3
Although not primarily, De Franco et al. (2011) incorporate losses for computing earnings comparability as discussed in their study in Footnote 11. They justify the addition of this “piece-wise linear regression technique” by saying that ‘‘asymmetric earnings timeliness [is] a potential source of bias in our comparability measure (Ball et al., 2000; Basu, 1997).’’ We choose this De Franco et al. version since it better depicts comparability in our context. Our focus is on a situation in which significant economic losses occur (i.e., large negative stock returns).
 
4
We use Hausman test to make a choice between fixed and random effect model. The test reveals that FEM is an appropriate choice for our estimation analyses.
 
5
IndMeanRD, IndMeanTD, and IndMeanBD are the industry mean of relation diversity, task diversity, and overall board diversity, respectively.
 
6
Also see Lin et al. (2013), An et al. (2016), Jiang and Yuan (2018), and Chen (2015).
 
7
We do not report the results of the first stage regressions due to brevity.
 
8
We change our board diversity indexes to dummy variables and define higher (lower) board diversity on the board. RD_dummy is the indicator variable equaling one if the board has higher relation diversity, otherwise zero. We repeat the same process for task diversity (TD_dummy) and overall board diversity (BD_dummy).
 
9
We also find the impact of board diversity for Covid-19 (2020). The un-tabulated results show that board diversity has no effect on comparability during Covid-19.
 
Literature
go back to reference Abad, D., Lucas-Pérez, M. E., Minguez-Vera, A., & Yagüe, J. (2017). Does gender diversity on corporate boards reduce information asymmetry in equity markets? Business Research Quarterly, 20(3), 192–205. Abad, D., Lucas-Pérez, M. E., Minguez-Vera, A., & Yagüe, J. (2017). Does gender diversity on corporate boards reduce information asymmetry in equity markets? Business Research Quarterly, 20(3), 192–205.
go back to reference Adams, R. B., & Ferreira, D. (2009). Women in the boardroom and their impact on governance and performance. Journal of Financial Economics, 94(2), 291–309. CrossRef Adams, R. B., & Ferreira, D. (2009). Women in the boardroom and their impact on governance and performance. Journal of Financial Economics, 94(2), 291–309. CrossRef
go back to reference Adkin, L. C., & Hill, R. C. (2008). Using Stata for principles of econometrics, 3rd edn. Wiley. Adkin, L. C., & Hill, R. C. (2008). Using Stata for principles of econometrics, 3rd edn. Wiley.
go back to reference Aggarwal, R., Erel, I., Ferreira, M., & Matos, P. (2011). Does governance travel around the world? Evidence from institutional investors. Journal of Financial Economics, 100(1), 154–181. CrossRef Aggarwal, R., Erel, I., Ferreira, M., & Matos, P. (2011). Does governance travel around the world? Evidence from institutional investors. Journal of Financial Economics, 100(1), 154–181. CrossRef
go back to reference Aggarwal, R., Jindal, V., & Seth, R. (2019). Board diversity and firm performance: The role of business group affiliation. International Business Review, 28(6), 101600. CrossRef Aggarwal, R., Jindal, V., & Seth, R. (2019). Board diversity and firm performance: The role of business group affiliation. International Business Review, 28(6), 101600. CrossRef
go back to reference Ain, Q. U., Yuan, X., Javaid, H. M., Usman, M., & Haris, M. (2020). Female directors and agency costs: Evidence from Chinese listed firms. International Journal of Emerging Markets, 16(8), 1604–1633. CrossRef Ain, Q. U., Yuan, X., Javaid, H. M., Usman, M., & Haris, M. (2020). Female directors and agency costs: Evidence from Chinese listed firms. International Journal of Emerging Markets, 16(8), 1604–1633. CrossRef
go back to reference Ali, A., Ammar, G., Rashid, A., & Muhammad, L. (2020). Women on board and auditors ’ assessment of the risk of material misstatement. Eurasian Business Review, 11, 679–708. Ali, A., Ammar, G., Rashid, A., & Muhammad, L. (2020). Women on board and auditors ’ assessment of the risk of material misstatement. Eurasian Business Review, 11, 679–708.
go back to reference Allen, F., Qian, J., Zhang, C., & Zhao, M. (2012). China’s financial system: Opportunities and challenges. National Bureau of Economic Research. CrossRef Allen, F., Qian, J., Zhang, C., & Zhao, M. (2012). China’s financial system: Opportunities and challenges. National Bureau of Economic Research. CrossRef
go back to reference Allport, G. W. (1954). The nature of prejudice. Addison-Wesley. Allport, G. W. (1954). The nature of prejudice. Addison-Wesley.
go back to reference Ameer, R. (2010). The role of institutional investors in the inventory and cash management practices of firms in Asia. Journal of Multinational Financial Management, 20(2–3), 126–143. CrossRef Ameer, R. (2010). The role of institutional investors in the inventory and cash management practices of firms in Asia. Journal of Multinational Financial Management, 20(2–3), 126–143. CrossRef
go back to reference An, Z., Chen, C., Li, D., & Yin, C. (2021). Foreign institutional ownership and the speed of leverage adjustment: International evidence. Journal of Corporate Finance, 68(August 2019), 101966. CrossRef An, Z., Chen, C., Li, D., & Yin, C. (2021). Foreign institutional ownership and the speed of leverage adjustment: International evidence. Journal of Corporate Finance, 68(August 2019), 101966. CrossRef
go back to reference An, Z., Li, D., & Yu, J. (2016). Earnings management, capital structure, and the role of institutional environments. Journal of Banking and Finance, 68, 131–152. CrossRef An, Z., Li, D., & Yu, J. (2016). Earnings management, capital structure, and the role of institutional environments. Journal of Banking and Finance, 68, 131–152. CrossRef
go back to reference Andreou, P. C., Fiordelisi, F., Harris, T., & Philip, D. (2021). Institutional ownership and firms’ thrust to compete. British Journal of Management, 00, 1–25. Andreou, P. C., Fiordelisi, F., Harris, T., & Philip, D. (2021). Institutional ownership and firms’ thrust to compete. British Journal of Management, 00, 1–25.
go back to reference Andreou, P. C., Louca, C., & Petrou, A. P. (2017). CEO age and stock price crash risk. Review of Finance, 21(3), 1287–1325. CrossRef Andreou, P. C., Louca, C., & Petrou, A. P. (2017). CEO age and stock price crash risk. Review of Finance, 21(3), 1287–1325. CrossRef
go back to reference Ararat, M., Aksu, M., & Tansel Cetin, A. (2015). How board diversity affects firm performance in emerging markets: Evidence on channels in controlled firms. Corporate Governance: An International Review, 23(2), 83–103. CrossRef Ararat, M., Aksu, M., & Tansel Cetin, A. (2015). How board diversity affects firm performance in emerging markets: Evidence on channels in controlled firms. Corporate Governance: An International Review, 23(2), 83–103. CrossRef
go back to reference Arena, C., Cirillo, A., Mussolino, D., Pulcinelli, I., Saggese, S., & Sarto, F. (2015). Women on board: Evidence from a masculine industry. Corporate Governance (bingley), 15(3), 339–356. CrossRef Arena, C., Cirillo, A., Mussolino, D., Pulcinelli, I., Saggese, S., & Sarto, F. (2015). Women on board: Evidence from a masculine industry. Corporate Governance (bingley), 15(3), 339–356. CrossRef
go back to reference Arnaboldi, F., Casu, B., Kalotychou, E., & Sarkisyan, A. (2020). The performance effects of board heterogeneity: What works for EU banks? European Journal of Finance, 26(10), 897–924. CrossRef Arnaboldi, F., Casu, B., Kalotychou, E., & Sarkisyan, A. (2020). The performance effects of board heterogeneity: What works for EU banks? European Journal of Finance, 26(10), 897–924. CrossRef
go back to reference Atif, M., Liu, B., & Huang, A. (2019). Does board gender diversity affect corporate cash holdings? Journal of Business Finance and Accounting, 46(7–8), 1003–1029. CrossRef Atif, M., Liu, B., & Huang, A. (2019). Does board gender diversity affect corporate cash holdings? Journal of Business Finance and Accounting, 46(7–8), 1003–1029. CrossRef
go back to reference Ball, R., Kothari, S. P., Robin, A., Biddle, G., Carsberg, S. B., Collins, D., Easton, P., et al. (2000). The e ! ect of international institutional factors on properties of accounting earnings. Journal of Accounting and Economics, 29, 1–51. CrossRef Ball, R., Kothari, S. P., Robin, A., Biddle, G., Carsberg, S. B., Collins, D., Easton, P., et al. (2000). The e ! ect of international institutional factors on properties of accounting earnings. Journal of Accounting and Economics, 29, 1–51. CrossRef
go back to reference Barth, M. E., Landsman, W. R., Lang, M., & Williams, C. (2012). Are IFRS-based and US GAAP-based accounting amounts comparable? Journal of Accounting and Economics, 54(1), 68–93. CrossRef Barth, M. E., Landsman, W. R., Lang, M., & Williams, C. (2012). Are IFRS-based and US GAAP-based accounting amounts comparable? Journal of Accounting and Economics, 54(1), 68–93. CrossRef
go back to reference Basu, S. (1997). The conservatism principle and the asymmetric timeliness of earnings. Journal of Accounting and Economics, 30(1), 3–37. CrossRef Basu, S. (1997). The conservatism principle and the asymmetric timeliness of earnings. Journal of Accounting and Economics, 30(1), 3–37. CrossRef
go back to reference Bedard, J., Chtourou, S. M., & Courteau, L. (2004). The Effect of audit committee expertise, independence, and activity on aggressive earnings management. Auditing: A Journal of Practice and Theory, 23(2), 13–35. CrossRef Bedard, J., Chtourou, S. M., & Courteau, L. (2004). The Effect of audit committee expertise, independence, and activity on aggressive earnings management. Auditing: A Journal of Practice and Theory, 23(2), 13–35. CrossRef
go back to reference Berger, A. N., Hasan, I., & Zhou, M. (2009). Bank ownership and efficiency in China: What will happen in the world’s largest nation? Journal of Banking and Finance, 33(1), 113–130. CrossRef Berger, A. N., Hasan, I., & Zhou, M. (2009). Bank ownership and efficiency in China: What will happen in the world’s largest nation? Journal of Banking and Finance, 33(1), 113–130. CrossRef
go back to reference Bilal, C. S., & Komal, B. (2018). Audit committee financial expertise and earnings quality: A meta-analysis. Journal of Business Research, 84, 253–270. CrossRef Bilal, C. S., & Komal, B. (2018). Audit committee financial expertise and earnings quality: A meta-analysis. Journal of Business Research, 84, 253–270. CrossRef
go back to reference Blau, J. R. (2000). Group enmity and accord. Social Science History, 24(2), 395–413. Blau, J. R. (2000). Group enmity and accord. Social Science History, 24(2), 395–413.
go back to reference Boyd, B. (1990). Corporate linkages and organizational environment: A test of the resource dependence model. Strategic Management Journal, 11, 419–430. CrossRef Boyd, B. (1990). Corporate linkages and organizational environment: A test of the resource dependence model. Strategic Management Journal, 11, 419–430. CrossRef
go back to reference Bowen, R. M., Call, A. C., & Rajgopal, S. (2010). Whistle-blowing: Target firm characteristics and economic consequences. The Accounting Review, 85, 1239–1271. CrossRef Bowen, R. M., Call, A. C., & Rajgopal, S. (2010). Whistle-blowing: Target firm characteristics and economic consequences. The Accounting Review, 85, 1239–1271. CrossRef
go back to reference Brammer, S., Millington, A., & Pavelin, S. (2009). Corporate reputation and women on the board. British Journal of Management, 20(1), 17–29. CrossRef Brammer, S., Millington, A., & Pavelin, S. (2009). Corporate reputation and women on the board. British Journal of Management, 20(1), 17–29. CrossRef
go back to reference Campbell, J. L., Yeung, P. E. (2016). Earnings comparability as a signal of earnings quality and future stock returns: Evidence from peer firms' earnings restatements. SSRN Working paper, p. 1966715 Campbell, J. L., Yeung, P. E. (2016). Earnings comparability as a signal of earnings quality and future stock returns: Evidence from peer firms' earnings restatements. SSRN Working paper, p. 1966715
go back to reference Cao, Q., Hu, N., & Chen, L. (2016). Auditor flow and financial statement comparability: Evidence from audit firm mergers in China. China Journal of Accounting Studies, 4(3), 263–286. CrossRef Cao, Q., Hu, N., & Chen, L. (2016). Auditor flow and financial statement comparability: Evidence from audit firm mergers in China. China Journal of Accounting Studies, 4(3), 263–286. CrossRef
go back to reference Cao, Y., Dong, Y., Lu, Y., & Ma, D. (2020). Does institutional ownership improve firm investment efficiency? Emerging Markets Finance and Trade, 56(12), 2772–2792. CrossRef Cao, Y., Dong, Y., Lu, Y., & Ma, D. (2020). Does institutional ownership improve firm investment efficiency? Emerging Markets Finance and Trade, 56(12), 2772–2792. CrossRef
go back to reference Carter, D. A., D’Souza, F., Simkins, B. J., & Simpson, W. G. (2010). The gender and ethnic diversity of US boards and board committees and firm financial performance. Corporate Governance: An International Review, 18(5), 396–414. CrossRef Carter, D. A., D’Souza, F., Simkins, B. J., & Simpson, W. G. (2010). The gender and ethnic diversity of US boards and board committees and firm financial performance. Corporate Governance: An International Review, 18(5), 396–414. CrossRef
go back to reference Carter, D. A., Simkins, B. J., & Simpson, W. G. (2003). Corporate governance, board diversity, and firm value. Financial Review, 38(1), 33–53. CrossRef Carter, D. A., Simkins, B. J., & Simpson, W. G. (2003). Corporate governance, board diversity, and firm value. Financial Review, 38(1), 33–53. CrossRef
go back to reference Cascino, S., & Gassen, J. (2015). What drives the comparability effect of mandatory IFRS adoption? Review of Accounting Studies, 20(1), 242–282. CrossRef Cascino, S., & Gassen, J. (2015). What drives the comparability effect of mandatory IFRS adoption? Review of Accounting Studies, 20(1), 242–282. CrossRef
go back to reference Chambers, E. G., Foulon, M., Handfield-Jones, H., Hankin, S. M., & Michaels, E. G. I. (1998). The war for talent. The McKinsey Quarterly, 3, 44–57. Chambers, E. G., Foulon, M., Handfield-Jones, H., Hankin, S. M., & Michaels, E. G. I. (1998). The war for talent. The McKinsey Quarterly, 3, 44–57.
go back to reference Chen, H., Chen, J. Z., Lobo, G. J., & Wang, Y. (2010). Association between borrower and lender state ownership and accounting conservatism. Journal of Accounting Research, 48(5), 973–1014. CrossRef Chen, H., Chen, J. Z., Lobo, G. J., & Wang, Y. (2010). Association between borrower and lender state ownership and accounting conservatism. Journal of Accounting Research, 48(5), 973–1014. CrossRef
go back to reference Chen, T. (2015). Institutions, board structure, and corporate performance: Evidence from Chinese firms. Journal of Corporate Finance, 32, 217–237. CrossRef Chen, T. (2015). Institutions, board structure, and corporate performance: Evidence from Chinese firms. Journal of Corporate Finance, 32, 217–237. CrossRef
go back to reference Chen, W., Collins, D. W., Kravet, T., & Mergenthaler, R. D. (2018). Financial statement comparability and the efficiency of acquisition decisions. Contemporary Accounting Research, 35(1), 164–202. CrossRef Chen, W., Collins, D. W., Kravet, T., & Mergenthaler, R. D. (2018). Financial statement comparability and the efficiency of acquisition decisions. Contemporary Accounting Research, 35(1), 164–202. CrossRef
go back to reference Cheng, X., (Helen) Wang, H., & Wang, X. (2021). Common institutional ownership and corporate social responsibility. Journal of Banking and Finance, 106218. Cheng, X., (Helen) Wang, H., & Wang, X. (2021). Common institutional ownership and corporate social responsibility. Journal of Banking and Finance, 106218.
go back to reference Chircop, J., Collins, D. W., Hass, L. H., & Nguyen, N. Q. (2020). Accounting comparability and corporate innovative efficiency. The Accounting Review, 95(4), 127–151. CrossRef Chircop, J., Collins, D. W., Hass, L. H., & Nguyen, N. Q. (2020). Accounting comparability and corporate innovative efficiency. The Accounting Review, 95(4), 127–151. CrossRef
go back to reference Choi, J.-H., Choi, S., Myers, L., & Ziebart, D. (2019). Financial statement comparability and the informativeness of stock prices about future earnings. Contemporary Accounting Research, 36(1), 389–417. CrossRef Choi, J.-H., Choi, S., Myers, L., & Ziebart, D. (2019). Financial statement comparability and the informativeness of stock prices about future earnings. Contemporary Accounting Research, 36(1), 389–417. CrossRef
go back to reference Chung, K. H., Elder, J., & Kim, J. (2010). Corporate governance and liquidity. Journal of Financial and Quantitative Analysis, 45(02), 265–291. CrossRef Chung, K. H., Elder, J., & Kim, J. (2010). Corporate governance and liquidity. Journal of Financial and Quantitative Analysis, 45(02), 265–291. CrossRef
go back to reference Chen, A., & Gong, J.J. (2019). Accounting comparability, financial reporting quality, and the pricing of accruals. Advances in Accounting, 45, 100415. CrossRef Chen, A., & Gong, J.J. (2019). Accounting comparability, financial reporting quality, and the pricing of accruals. Advances in Accounting, 45, 100415. CrossRef
go back to reference Chung, K. H., & Zhang, H. (2011). Corporate governance and institutional ownership. Journal of Financial and Quantitative Analysis, 46(1), 247–273. CrossRef Chung, K. H., & Zhang, H. (2011). Corporate governance and institutional ownership. Journal of Financial and Quantitative Analysis, 46(1), 247–273. CrossRef
go back to reference Chung, R., Firth, M., & Kim, J. (2002). Institutional monitoring and opportunistic earnings management. Journal of Corporate Finance, 8, 29–48. CrossRef Chung, R., Firth, M., & Kim, J. (2002). Institutional monitoring and opportunistic earnings management. Journal of Corporate Finance, 8, 29–48. CrossRef
go back to reference Claessens, S., Djankov, S., Fan, J. P. H., & Lang, L. H. P. (2002). Disentangling the incentive and entrenchment effects of large shareholdings. Journal of Finance, 57(6), 2741–2771. CrossRef Claessens, S., Djankov, S., Fan, J. P. H., & Lang, L. H. P. (2002). Disentangling the incentive and entrenchment effects of large shareholdings. Journal of Finance, 57(6), 2741–2771. CrossRef
go back to reference Collins, D. W., Kothari, S. P., Shankenb, J., & Sloane, R. G. (1994). Lack of timeliness and noise as explanations for the low contemporaneous return-earnings association. Journal of Accounting and Economics, 18, 289–324. CrossRef Collins, D. W., Kothari, S. P., Shankenb, J., & Sloane, R. G. (1994). Lack of timeliness and noise as explanations for the low contemporaneous return-earnings association. Journal of Accounting and Economics, 18, 289–324. CrossRef
go back to reference Cornett, M. M., Marcus, A. J., Saunders, A., & Tehranian, H. (2007). The impact of institutional ownership on corporate operating performance. Journal of Banking and Finance, 31, 1771–1794. CrossRef Cornett, M. M., Marcus, A. J., Saunders, A., & Tehranian, H. (2007). The impact of institutional ownership on corporate operating performance. Journal of Banking and Finance, 31, 1771–1794. CrossRef
go back to reference Cumming, D., Leung, T. Y., & Rui, O. (2015). Gender diversity and securities fraud. Academy of Management Journal, 58(2), 1572–1593. CrossRef Cumming, D., Leung, T. Y., & Rui, O. (2015). Gender diversity and securities fraud. Academy of Management Journal, 58(2), 1572–1593. CrossRef
go back to reference Davis, G. F., & Cobb, J. A. (2010). Chapter 2: Resource dependence theory: Past and future. Stanford’s Organization Theory Renaissance, 1970–2000, 21–42. Davis, G. F., & Cobb, J. A. (2010). Chapter 2: Resource dependence theory: Past and future. Stanford’s Organization Theory Renaissance, 1970–2000, 21–42.
go back to reference De Franco, G., Kothari, S. P., & Verdi, R. S. (2011). The benefits of financial statement comparability. Journal of Accounting Research, 49(4), 895–931. CrossRef De Franco, G., Kothari, S. P., & Verdi, R. S. (2011). The benefits of financial statement comparability. Journal of Accounting Research, 49(4), 895–931. CrossRef
go back to reference Dhole, S., Liu, L., Lobo, G. J., & Mishra, S. (2021). Economic policy uncertainty and financial statement comparability. Journal of Accounting and Public Policy, 40(1), 106800. CrossRef Dhole, S., Liu, L., Lobo, G. J., & Mishra, S. (2021). Economic policy uncertainty and financial statement comparability. Journal of Accounting and Public Policy, 40(1), 106800. CrossRef
go back to reference Dovidio, J. F., Gaertner, S. L., & Kawakami, K. (2003). Intergroup contact: The past, present, and the future. Group Processes and Intergroup Relations, 6(1), 5–21. CrossRef Dovidio, J. F., Gaertner, S. L., & Kawakami, K. (2003). Intergroup contact: The past, present, and the future. Group Processes and Intergroup Relations, 6(1), 5–21. CrossRef
go back to reference Endrawes, M., Feng, Z., & Lu, M. (2018). Audit committee characteristics and financial statement comparability. Accounting and Finance, 60(3), 2361–2395. CrossRef Endrawes, M., Feng, Z., & Lu, M. (2018). Audit committee characteristics and financial statement comparability. Accounting and Finance, 60(3), 2361–2395. CrossRef
go back to reference Eom, C. (2018). Institutional bidding behaviors during IPO bookbuilding: Evidence from Korea. Journal of Corporate Finance, 48, 413–427. CrossRef Eom, C. (2018). Institutional bidding behaviors during IPO bookbuilding: Evidence from Korea. Journal of Corporate Finance, 48, 413–427. CrossRef
go back to reference Faccio, M. (2006). Politically connected firms. American Economic Review, 96(1), 369–386. CrossRef Faccio, M. (2006). Politically connected firms. American Economic Review, 96(1), 369–386. CrossRef
go back to reference Faccio, M., Marchica, M. T., & Mura, R. (2016). CEO gender, corporate risk-taking, and the efficiency of capital allocation. Journal of Corporate Finance, 39, 193–209. CrossRef Faccio, M., Marchica, M. T., & Mura, R. (2016). CEO gender, corporate risk-taking, and the efficiency of capital allocation. Journal of Corporate Finance, 39, 193–209. CrossRef
go back to reference FINANCIAL ACCOUNTING STANDARDS BOARD (FASB). (2010). The conceptual framework for finanacial reporting, qualitative characteristics of useful financial information. FINANCIAL ACCOUNTING STANDARDS BOARD (FASB). (2010). The conceptual framework for finanacial reporting, qualitative characteristics of useful financial information.
go back to reference Firth, M., Gao, J., Shen, J., & Zhang, Y. (2016). Institutional stock ownership and firms’ cash dividend policies: Evidence from China. Journal of Banking and Finance, 65, 91–107. CrossRef Firth, M., Gao, J., Shen, J., & Zhang, Y. (2016). Institutional stock ownership and firms’ cash dividend policies: Evidence from China. Journal of Banking and Finance, 65, 91–107. CrossRef
go back to reference Francis, J. R., Pinnuck, M. L., & Watanabe, O. (2014). Auditor style and financial statement comparability. Accounting Review, 89(2), 605–633. CrossRef Francis, J. R., Pinnuck, M. L., & Watanabe, O. (2014). Auditor style and financial statement comparability. Accounting Review, 89(2), 605–633. CrossRef
go back to reference Fu, Y., & Qin, Z. (2021). Institutional cross-ownership and corporate philanthropy. Finance Research Letters, 43(2020), 101996. CrossRef Fu, Y., & Qin, Z. (2021). Institutional cross-ownership and corporate philanthropy. Finance Research Letters, 43(2020), 101996. CrossRef
go back to reference García-Sánchez, I. M., Aibar-Guzmán, C., & Aibar-Guzmán, B. (2020). The effect of institutional ownership and ownership dispersion on eco-innovation. Technological Forecasting and Social Change, 158(March), 120173. CrossRef García-Sánchez, I. M., Aibar-Guzmán, C., & Aibar-Guzmán, B. (2020). The effect of institutional ownership and ownership dispersion on eco-innovation. Technological Forecasting and Social Change, 158(March), 120173. CrossRef
go back to reference Gruenfeld, D. H., Mannix, E. A., Williams, K. Y., & Neale, M. A. (1996). Group composition and decision making: How member familiarity and information distribution affect process and performance. Organizational Behavior and Human Decision Processes, 67(1), 1–15. CrossRef Gruenfeld, D. H., Mannix, E. A., Williams, K. Y., & Neale, M. A. (1996). Group composition and decision making: How member familiarity and information distribution affect process and performance. Organizational Behavior and Human Decision Processes, 67(1), 1–15. CrossRef
go back to reference Gul, F. A., Srinidhi, B., & Ng, A. C. (2011). Does board gender diversity improve the informativeness of stock prices? Journal of Accounting and Economics, 51(3), 314–338. CrossRef Gul, F. A., Srinidhi, B., & Ng, A. C. (2011). Does board gender diversity improve the informativeness of stock prices? Journal of Accounting and Economics, 51(3), 314–338. CrossRef
go back to reference Hambrick, D. C., & Mason, P. A. (1984). Upper Echelons: The organization as a reflection of its top managers. The Academy of Management Review, 9(2), 193–206. CrossRef Hambrick, D. C., & Mason, P. A. (1984). Upper Echelons: The organization as a reflection of its top managers. The Academy of Management Review, 9(2), 193–206. CrossRef
go back to reference Harjoto, M., Laksmana, I., & Lee, R. (2015). Board diversity and corporate social responsibility. Journal of Business Ethics, 132(4), 641–660. CrossRef Harjoto, M., Laksmana, I., & Lee, R. (2015). Board diversity and corporate social responsibility. Journal of Business Ethics, 132(4), 641–660. CrossRef
go back to reference Harjoto, M. A., Laksmana, I., & Yang, Y. W. (2018). Board diversity and corporate investment oversight. Journal of Business Research, 90, 40–47. CrossRef Harjoto, M. A., Laksmana, I., & Yang, Y. W. (2018). Board diversity and corporate investment oversight. Journal of Business Research, 90, 40–47. CrossRef
go back to reference Hartzell, J. C., Sun, L., & Titman, S. (2014). Institutional investors as monitors of corporate diversification decisions: Evidence from real estate investment trusts. Journal of Corporate Finance, 25, 61–72. CrossRef Hartzell, J. C., Sun, L., & Titman, S. (2014). Institutional investors as monitors of corporate diversification decisions: Evidence from real estate investment trusts. Journal of Corporate Finance, 25, 61–72. CrossRef
go back to reference Hasan, M. M., Cheung, A., & Wai, K. (2018). Organization capital and firm life cycle. Journal of Corporate Finance, 48, 556–578. CrossRef Hasan, M. M., Cheung, A., & Wai, K. (2018). Organization capital and firm life cycle. Journal of Corporate Finance, 48, 556–578. CrossRef
go back to reference Hasan, M. M., Cheung, A., Wai, K., & Taylor, G. (2020). Financial statement comparability and bank risk-taking. Journal of Contemporary Accounting and Economics, 16(3), 100206. CrossRef Hasan, M. M., Cheung, A., Wai, K., & Taylor, G. (2020). Financial statement comparability and bank risk-taking. Journal of Contemporary Accounting and Economics, 16(3), 100206. CrossRef
go back to reference Hoang, T. C., Abeysekera, I., & Ma, S. (2017). The effect of board diversity on earnings quality: An empirical study of listed firms in Vietnam. Australian Accounting Review, 27(2), 146–163. CrossRef Hoang, T. C., Abeysekera, I., & Ma, S. (2017). The effect of board diversity on earnings quality: An empirical study of listed firms in Vietnam. Australian Accounting Review, 27(2), 146–163. CrossRef
go back to reference How, J., Verhoeven, P., & Wahab, A. (2014). Institutional investors, political connections and analyst following in Malaysia. Economic Modelling, 43, 158–167. CrossRef How, J., Verhoeven, P., & Wahab, A. (2014). Institutional investors, political connections and analyst following in Malaysia. Economic Modelling, 43, 158–167. CrossRef
go back to reference Huang, H.-W., Rose-Green, E., & Lee, C.-C. (2012). CEO age and financial reporting quality. Accounting Horizons, 26(4), 725–740. CrossRef Huang, H.-W., Rose-Green, E., & Lee, C.-C. (2012). CEO age and financial reporting quality. Accounting Horizons, 26(4), 725–740. CrossRef
go back to reference Huang, W., & Mazouz, K. (2018). Excess cash, trading continuity, and liquidity risk. Journal of Corporate Finance, 48, 275–291. CrossRef Huang, W., & Mazouz, K. (2018). Excess cash, trading continuity, and liquidity risk. Journal of Corporate Finance, 48, 275–291. CrossRef
go back to reference Huang, W., & Zhu, T. (2015). Foreign institutional investors and corporate governance in emerging markets: Evidence of a split-share structure reform in China. Journal of Corporate Finance, 32, 312–326. CrossRef Huang, W., & Zhu, T. (2015). Foreign institutional investors and corporate governance in emerging markets: Evidence of a split-share structure reform in China. Journal of Corporate Finance, 32, 312–326. CrossRef
go back to reference Imhof, M. J., Seavey, S. E., & Smith, D. B. (2017). Comparability and cost of equity capital. Accounting Horizons, 31(2), 125–138. CrossRef Imhof, M. J., Seavey, S. E., & Smith, D. B. (2017). Comparability and cost of equity capital. Accounting Horizons, 31(2), 125–138. CrossRef
go back to reference Imhof, M. J., Seavey, S. E., & Watanabe, O. V. (2018). Competition, proprietary costs of financial reporting, and financial statement comparability. Journal of Accounting, Auditing and Finance, 31(1), 114–142. CrossRef Imhof, M. J., Seavey, S. E., & Watanabe, O. V. (2018). Competition, proprietary costs of financial reporting, and financial statement comparability. Journal of Accounting, Auditing and Finance, 31(1), 114–142. CrossRef
go back to reference International Accounting Standard Board. (2010). Conceptual framework for financial reporting. International Accounting Standard Board. (2010). Conceptual framework for financial reporting.
go back to reference Jebran, K., Chen, S., & Zhang, R. (2020). Board diversity and stock price crash risk. Research in International Business and Finance, 51, 101122. CrossRef Jebran, K., Chen, S., & Zhang, R. (2020). Board diversity and stock price crash risk. Research in International Business and Finance, 51, 101122. CrossRef
go back to reference Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305–360. CrossRef Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305–360. CrossRef
go back to reference Ji, J., Peng, H., Sun, H., & Xu, H. (2021). Board tenure diversity, culture and firm risk : Cross-country evidence. Journal of International Financial Markets, Institutions and Money, 70, 101276. CrossRef Ji, J., Peng, H., Sun, H., & Xu, H. (2021). Board tenure diversity, culture and firm risk : Cross-country evidence. Journal of International Financial Markets, Institutions and Money, 70, 101276. CrossRef
go back to reference Jiang, X., & Yuan, Q. (2018). Institutional investors’ corporate site visits and corporate innovation. Journal of Corporate Finance, 48(71602197), 148–168. CrossRef Jiang, X., & Yuan, Q. (2018). Institutional investors’ corporate site visits and corporate innovation. Journal of Corporate Finance, 48(71602197), 148–168. CrossRef
go back to reference Jiang, Y., Zheng, H., & Wang, R. (2021). The effect of institutional ownership on listed companies’ tax avoidance strategies. Applied Economics, Routledge, 53(8), 880–896. CrossRef Jiang, Y., Zheng, H., & Wang, R. (2021). The effect of institutional ownership on listed companies’ tax avoidance strategies. Applied Economics, Routledge, 53(8), 880–896. CrossRef
go back to reference Khan, R., Bin, W., & Sadia, K. (2021). Board diversity, financial flexibility and corporate innovation: Evidence from China. Eurasian Business Review, 11(2), 303–326. CrossRef Khan, R., Bin, W., & Sadia, K. (2021). Board diversity, financial flexibility and corporate innovation: Evidence from China. Eurasian Business Review, 11(2), 303–326. CrossRef
go back to reference Kim, J.-B., Li, L., Lu, L. Y., & Yu, Y. (2016). Financial statement comparability and expected crash risk. Journal of Accounting and Economics, 61(2–3), 294–312. CrossRef Kim, J.-B., Li, L., Lu, L. Y., & Yu, Y. (2016). Financial statement comparability and expected crash risk. Journal of Accounting and Economics, 61(2–3), 294–312. CrossRef
go back to reference Kim, J., Kim, R., & Kim, S. (2020). Does financial statement comparability mitigate delayed trading volume before earnings announcements? Journal of Business Research, 107, 62–75. CrossRef Kim, J., Kim, R., & Kim, S. (2020). Does financial statement comparability mitigate delayed trading volume before earnings announcements? Journal of Business Research, 107, 62–75. CrossRef
go back to reference Kim, J., Li, L., Yi, L., & Yu, Y. (2021). Financial statement comparability and managers ’ use of corporate resources. Accounting and Finance, 61, 1697–1742. CrossRef Kim, J., Li, L., Yi, L., & Yu, Y. (2021). Financial statement comparability and managers ’ use of corporate resources. Accounting and Finance, 61, 1697–1742. CrossRef
go back to reference Kim, R., Kim, S., & Musa, P. M. (2018). When does comparability better enhance relevance? Policy implications from empirical evidence. Journal of Accounting and Public Policy, 37(5), 436–457. CrossRef Kim, R., Kim, S., & Musa, P. M. (2018). When does comparability better enhance relevance? Policy implications from empirical evidence. Journal of Accounting and Public Policy, 37(5), 436–457. CrossRef
go back to reference Kim, S., Kraft, P., & Ryan, S. G. (2013). Financial statement comparability and credit risk. Review of Accounting Studies, 18(3), 783–823. CrossRef Kim, S., Kraft, P., & Ryan, S. G. (2013). Financial statement comparability and credit risk. Review of Accounting Studies, 18(3), 783–823. CrossRef
go back to reference Kothari, S. P., Leone, A. J., & Wasley, C. E. (2005). Performance matched discretionary accrual measures. Journal of Accounting and Economics, 39, 163–197. CrossRef Kothari, S. P., Leone, A. J., & Wasley, C. E. (2005). Performance matched discretionary accrual measures. Journal of Accounting and Economics, 39, 163–197. CrossRef
go back to reference Krishnan, J., Wen, Y., & Zhao, W. (2011). Legal expertise on corporate audit committees and financial reporting quality. The Accounting Review, 86(6), 2099–2130. CrossRef Krishnan, J., Wen, Y., & Zhao, W. (2011). Legal expertise on corporate audit committees and financial reporting quality. The Accounting Review, 86(6), 2099–2130. CrossRef
go back to reference Kyaw, K., Olugbode, M., & Petracci, B. (2015). Does gender diverse board mean less earnings management? Finance Research Letters, 14, 135–141. CrossRef Kyaw, K., Olugbode, M., & Petracci, B. (2015). Does gender diverse board mean less earnings management? Finance Research Letters, 14, 135–141. CrossRef
go back to reference Labelle, R., Gargouri, R. M., & Francoeur, C. (2010). Ethics, diversity management, and financial reporting quality. Journal of Business Ethics, 93(2), 335–353. CrossRef Labelle, R., Gargouri, R. M., & Francoeur, C. (2010). Ethics, diversity management, and financial reporting quality. Journal of Business Ethics, 93(2), 335–353. CrossRef
go back to reference Leary, M. T., & Roberts, M. R. (2014). Do peer firms affect corporate financial policy? Journal of Finance, 69(1), 139–178. CrossRef Leary, M. T., & Roberts, M. R. (2014). Do peer firms affect corporate financial policy? Journal of Finance, 69(1), 139–178. CrossRef
go back to reference Lee, M.-G., Kang, M., Lee, H.-Y., & Park, J. C. (2016). Related-party transactions and financial statement comparability: Evidence from South Korea. Asia-Pacific Journal of Accounting and Economics, Routledge, 23(2), 224–252. CrossRef Lee, M.-G., Kang, M., Lee, H.-Y., & Park, J. C. (2016). Related-party transactions and financial statement comparability: Evidence from South Korea. Asia-Pacific Journal of Accounting and Economics, Routledge, 23(2), 224–252. CrossRef
go back to reference Li, N., & Wahid, A. S. (2018). Director tenure diversity and board monitoring effectiveness. Contemporary Accounting Research, 35(3), 1363–1394. CrossRef Li, N., & Wahid, A. S. (2018). Director tenure diversity and board monitoring effectiveness. Contemporary Accounting Research, 35(3), 1363–1394. CrossRef
go back to reference Li, Y., & Zeng, Y. (2019). The impact of top executive gender on asset prices: Evidence from stock price crash risk. Journal of Corporate Finance, 58(July 2018), 528–550. CrossRef Li, Y., & Zeng, Y. (2019). The impact of top executive gender on asset prices: Evidence from stock price crash risk. Journal of Corporate Finance, 58(July 2018), 528–550. CrossRef
go back to reference Lin, C., Ma, Y., Malatesta, P., & Xuan, Y. (2013). Corporate ownership structure and the choice between bank debt and public debt. Journal of Financial Economics, Elsevier, 109(2), 517–534. CrossRef Lin, C., Ma, Y., Malatesta, P., & Xuan, Y. (2013). Corporate ownership structure and the choice between bank debt and public debt. Journal of Financial Economics, Elsevier, 109(2), 517–534. CrossRef
go back to reference Lin, K. J., Lu, X., Zhang, J., & Zheng, Y. (2020). State-owned enterprises in China: A review of 40 years of research and practice. China Journal of Accounting Research, 13(1), 31–55. CrossRef Lin, K. J., Lu, X., Zhang, J., & Zheng, Y. (2020). State-owned enterprises in China: A review of 40 years of research and practice. China Journal of Accounting Research, 13(1), 31–55. CrossRef
go back to reference Liu, G., & Sun, J. (2010). Director tenure and independent audit committee effectiveness. International Research Journal of Finance and Economics, 51, 176–189. Liu, G., & Sun, J. (2010). Director tenure and independent audit committee effectiveness. International Research Journal of Finance and Economics, 51, 176–189.
go back to reference Lundeberg, M. A., Fox, P. W., & Punćochaŕ, J. (1994). Highly confident but wrong: Gender differences and similarities in confidence judgments. Journal of Educational Psychology, 86(1), 114–121. CrossRef Lundeberg, M. A., Fox, P. W., & Punćochaŕ, J. (1994). Highly confident but wrong: Gender differences and similarities in confidence judgments. Journal of Educational Psychology, 86(1), 114–121. CrossRef
go back to reference Luo, K., Kiayang, E., Qu, W., & Zhang, X. (2021). Board cultural diversity, government intervention and corporate innovation effectiveness : Evidence from China. Journal of Contemporary Accounting and Economics, 17(2), 100256. CrossRef Luo, K., Kiayang, E., Qu, W., & Zhang, X. (2021). Board cultural diversity, government intervention and corporate innovation effectiveness : Evidence from China. Journal of Contemporary Accounting and Economics, 17(2), 100256. CrossRef
go back to reference Majeed, M. A., & Yan, C. (2019). Financial statement comparability and corporate tax avoidance: Evidence from China. Economic Research-Ekonomska Istrazivanja, Routledge, 32(1), 1813–1843. CrossRef Majeed, M. A., & Yan, C. (2019). Financial statement comparability and corporate tax avoidance: Evidence from China. Economic Research-Ekonomska Istrazivanja, Routledge, 32(1), 1813–1843. CrossRef
go back to reference Majeed, M. A., & Yan, C. (2021). Financial statement comparability, state ownership, and the cost of debt: Evidence from China. Research in International Business and Finance, 58(April 2020), 101497. CrossRef Majeed, M. A., & Yan, C. (2021). Financial statement comparability, state ownership, and the cost of debt: Evidence from China. Research in International Business and Finance, 58(April 2020), 101497. CrossRef
go back to reference Majeed, M. A., & Yan, C. (2022). Financial statement comparability and stock liquidity: Evidence from China. Applied Economics, Forthcoming. Majeed, M. A., & Yan, C. (2022). Financial statement comparability and stock liquidity: Evidence from China. Applied Economics, Forthcoming.
go back to reference Majeed, M. A., Yan, C., & Tauni, M. Z. (2018). How does competition shape managerial decisions? Product market competition and financial statement comparability. Management Decision, 56(11), 2437–2471. CrossRef Majeed, M. A., Yan, C., & Tauni, M. Z. (2018). How does competition shape managerial decisions? Product market competition and financial statement comparability. Management Decision, 56(11), 2437–2471. CrossRef
go back to reference Milliken, F. J., & Martins, L. L. (1996). Searching for common threads: Understanding the multiple effects of diversity in organizational groups. Academy of Management Review, 21(2), 402–433. CrossRef Milliken, F. J., & Martins, L. L. (1996). Searching for common threads: Understanding the multiple effects of diversity in organizational groups. Academy of Management Review, 21(2), 402–433. CrossRef
go back to reference Mirza, S. S., Majeed, M. A., & Ahsan, T. (2020). Board gender diversity, competitive pressure and investment efficiency in Chinese private firms. Eurasian Business Review, 10(3), 417–440. CrossRef Mirza, S. S., Majeed, M. A., & Ahsan, T. (2020). Board gender diversity, competitive pressure and investment efficiency in Chinese private firms. Eurasian Business Review, 10(3), 417–440. CrossRef
go back to reference Neel, M. (2017). Accounting comparability and economic outcomes of mandatory IFRS adoption. Contemporary Accounting Research, 34(1), 658–690. CrossRef Neel, M. (2017). Accounting comparability and economic outcomes of mandatory IFRS adoption. Contemporary Accounting Research, 34(1), 658–690. CrossRef
go back to reference O’Reilly, C. A., III., Caldwell, D. F., & Barnett, W. P. (1989). Work group demography, social integration, and turnover. Administrative Science Quarterly, 34(1), 21. CrossRef O’Reilly, C. A., III., Caldwell, D. F., & Barnett, W. P. (1989). Work group demography, social integration, and turnover. Administrative Science Quarterly, 34(1), 21. CrossRef
go back to reference Pan, Y., & Sparks, J. R. (2012). Predictors, consequence, and measurement of ethical judgments: Review and meta-analysis. Journal of Business Research, 65(1), 84–91. CrossRef Pan, Y., & Sparks, J. R. (2012). Predictors, consequence, and measurement of ethical judgments: Review and meta-analysis. Journal of Business Research, 65(1), 84–91. CrossRef
go back to reference Park, Y. W., & Shin, H. H. (2004). Board composition and earnings management in Canada. Journal of Corporate Finance, 10(3), 431–457. CrossRef Park, Y. W., & Shin, H. H. (2004). Board composition and earnings management in Canada. Journal of Corporate Finance, 10(3), 431–457. CrossRef
go back to reference Pelled, L. H., Eisenhardt, K. M., & Xin, K. R. (1999). Exploring the black box: An analysis of work group diversity, conflict, and performance. Administrative Science Quarterly, 44(1), 1–28. CrossRef Pelled, L. H., Eisenhardt, K. M., & Xin, K. R. (1999). Exploring the black box: An analysis of work group diversity, conflict, and performance. Administrative Science Quarterly, 44(1), 1–28. CrossRef
go back to reference Pettigrew, T. F., & Tropp, L. R. (2006). A meta-analytic test of intergroup contact theory. Journal of Personality and Social Psychology, 90(5), 751–783. CrossRef Pettigrew, T. F., & Tropp, L. R. (2006). A meta-analytic test of intergroup contact theory. Journal of Personality and Social Psychology, 90(5), 751–783. CrossRef
go back to reference Pfeffer, J. (1973). Size, composition, and function of hospital boards of directors: A study of organization- environment linkage. Administrative Science Quarterly, 18(3), 349–364. CrossRef Pfeffer, J. (1973). Size, composition, and function of hospital boards of directors: A study of organization- environment linkage. Administrative Science Quarterly, 18(3), 349–364. CrossRef
go back to reference Phillips, F., Libby, R., & Libby, P. (2013). Fundamentals of financial accounting (4th ed.). Irwin: McGraw-Hill. Phillips, F., Libby, R., & Libby, P. (2013). Fundamentals of financial accounting (4th ed.). Irwin: McGraw-Hill.
go back to reference Powell, M., & Ansic, D. (1997). Gender differences in risk behaviour in financial decision-making: An experimental analysis. Journal of Economic Psychology, 18(6), 605–628. CrossRef Powell, M., & Ansic, D. (1997). Gender differences in risk behaviour in financial decision-making: An experimental analysis. Journal of Economic Psychology, 18(6), 605–628. CrossRef
go back to reference Sakawa, H., Watanabel, N., Duppati, G., & Faff, R. (2021). Institutional ownership and corporate risk-taking in Japanese listed firms. Applied Economics, Routledge, 53(16), 1899–1914. CrossRef Sakawa, H., Watanabel, N., Duppati, G., & Faff, R. (2021). Institutional ownership and corporate risk-taking in Japanese listed firms. Applied Economics, Routledge, 53(16), 1899–1914. CrossRef
go back to reference Salancik, G. R., & Pfeffer, J. (1979). The external control of organizations: A resource dependence perspective, The Academy of Management Review (Vol. 4). New York: Harper & Row. Salancik, G. R., & Pfeffer, J. (1979). The external control of organizations: A resource dependence perspective, The Academy of Management Review (Vol. 4). New York: Harper & Row.
go back to reference Sanchez, I. -M. G., Ferrero, J. M., Meca, E. G. (2017). Gender diversity, financial expertise and its effects on accounting quality. Management Decision, 55. Sanchez, I. -M. G., Ferrero, J. M., Meca, E. G. (2017). Gender diversity, financial expertise and its effects on accounting quality. Management Decision, 55.
go back to reference Serfling, M. A. (2014). CEO age and the riskiness of corporate policies. Journal of Corporate Finance, 25, 251–273. CrossRef Serfling, M. A. (2014). CEO age and the riskiness of corporate policies. Journal of Corporate Finance, 25, 251–273. CrossRef
go back to reference Shen, W., & Lin, C. (2009). Firm profitability, state ownership, and top management turnover at the listed firms in China: A behavioral perspective. Corporate Governance: An International Review, 17(4), 443–456. CrossRef Shen, W., & Lin, C. (2009). Firm profitability, state ownership, and top management turnover at the listed firms in China: A behavioral perspective. Corporate Governance: An International Review, 17(4), 443–456. CrossRef
go back to reference Shleifer, A., & Vishny, R. W. (1986). Large shareholders and corporate control. The Journal of Political Economy, 94(3), 461–488. CrossRef Shleifer, A., & Vishny, R. W. (1986). Large shareholders and corporate control. The Journal of Political Economy, 94(3), 461–488. CrossRef
go back to reference Simons, T., Pelled, L. H., & Smith, K. A. (1999). Making use of difference: Diversity, debate, and decision comprehensiveness in top management teams. Academy of Management Journal, 42(6), 662–673. CrossRef Simons, T., Pelled, L. H., & Smith, K. A. (1999). Making use of difference: Diversity, debate, and decision comprehensiveness in top management teams. Academy of Management Journal, 42(6), 662–673. CrossRef
go back to reference Smith, P. (2001). Myths and misconceptions. New Zealand Management, 48(8), 52–62. Smith, P. (2001). Myths and misconceptions. New Zealand Management, 48(8), 52–62.
go back to reference Sohn, B. C. (2016). The effect of accounting comparability on the accrual-based and real earnings management. Journal of Accounting and Public Policy, 35(5), 513–539. CrossRef Sohn, B. C. (2016). The effect of accounting comparability on the accrual-based and real earnings management. Journal of Accounting and Public Policy, 35(5), 513–539. CrossRef
go back to reference Srinidhi, B., Gul, F. A., & Tsui, J. (2011). Female directors and earnings quality. Contemporary Accounting Research, 28(5), 1610–1644. CrossRef Srinidhi, B., Gul, F. A., & Tsui, J. (2011). Female directors and earnings quality. Contemporary Accounting Research, 28(5), 1610–1644. CrossRef
go back to reference Staiger, B. Y. D., & Stock, J. H. (1997). Instrumental variables regression with weak instruments. Econometrica, 65(3), 557–586. CrossRef Staiger, B. Y. D., & Stock, J. H. (1997). Instrumental variables regression with weak instruments. Econometrica, 65(3), 557–586. CrossRef
go back to reference Terjesen, S., Couto, E. B., & Francisco, P. M. (2016). Does the presence of independent and female directors impact firm performance? A multi-country study of board diversity. Journal of Management and Governance, 20(3), 447–483. CrossRef Terjesen, S., Couto, E. B., & Francisco, P. M. (2016). Does the presence of independent and female directors impact firm performance? A multi-country study of board diversity. Journal of Management and Governance, 20(3), 447–483. CrossRef
go back to reference Troy, C., Smith, K. G., & Domino, M. A. (2011). CEO demographics and accounting fraud: Who is more likely to rationalize illegal acts? Strategic Organization, 9(4), 259–282. CrossRef Troy, C., Smith, K. G., & Domino, M. A. (2011). CEO demographics and accounting fraud: Who is more likely to rationalize illegal acts? Strategic Organization, 9(4), 259–282. CrossRef
go back to reference Ullah, I., Fang, H., & Jebran, K. (2019). Do gender diversity and CEO gender enhance firm’s value ? Evidence from an emerging economy. Corporate Governance (bingley), 20(1), 44–66. CrossRef Ullah, I., Fang, H., & Jebran, K. (2019). Do gender diversity and CEO gender enhance firm’s value ? Evidence from an emerging economy. Corporate Governance (bingley), 20(1), 44–66. CrossRef
go back to reference Ullah, I., Zeb, A., Khan, M. A., & Xiao, W. (2020). Board diversity and investment efficiency: Evidence from China. Corporate Governance (bingley), 20(6), 1105–1134. CrossRef Ullah, I., Zeb, A., Khan, M. A., & Xiao, W. (2020). Board diversity and investment efficiency: Evidence from China. Corporate Governance (bingley), 20(6), 1105–1134. CrossRef
go back to reference Upadhyay, A., & Zeng, H. (2014). Gender and ethnic diversity on boards and corporate information environment. Journal of Business Research, 67(11), 2456–2463. CrossRef Upadhyay, A., & Zeng, H. (2014). Gender and ethnic diversity on boards and corporate information environment. Journal of Business Research, 67(11), 2456–2463. CrossRef
go back to reference Vafeas, N. (2003). Length of board tenure and outside director independence. Journal of Business Finance and Accounting, 30(7–8), 1043–1064. CrossRef Vafeas, N. (2003). Length of board tenure and outside director independence. Journal of Business Finance and Accounting, 30(7–8), 1043–1064. CrossRef
go back to reference Velury, U., & Jenkins, D. S. (2006). Institutional ownership and the quality of earnings. Journal of Business Research, 59, 1043–1051. CrossRef Velury, U., & Jenkins, D. S. (2006). Institutional ownership and the quality of earnings. Journal of Business Research, 59, 1043–1051. CrossRef
go back to reference Wahid, A. S. (2019). The effects and the mechanisms of board gender diversity: Evidence from financial manipulation. Journal of Business Ethics, 159(3), 705–725. CrossRef Wahid, A. S. (2019). The effects and the mechanisms of board gender diversity: Evidence from financial manipulation. Journal of Business Ethics, 159(3), 705–725. CrossRef
go back to reference Van der Walt, N., & Ingley, C. (2003). Board dynamics and the influence of professional background, gender and ethnic diversity of directors. Corporate Governance: An International Review, 11(3), 218–234. CrossRef Van der Walt, N., & Ingley, C. (2003). Board dynamics and the influence of professional background, gender and ethnic diversity of directors. Corporate Governance: An International Review, 11(3), 218–234. CrossRef
go back to reference Wang, C., Xie, F., & Zhu, M. (2015). Industry expertise of independent directors and board monitoring. Journal of Financial and Quantitative Analysis, 50(5), 929–962. CrossRef Wang, C., Xie, F., & Zhu, M. (2015). Industry expertise of independent directors and board monitoring. Journal of Financial and Quantitative Analysis, 50(5), 929–962. CrossRef
go back to reference Wang, F., Zhang, Z., & Xu, L. (2020). Corporate social responsibility and financial statement comparability: Evidence from China. Corporate Social Responsibility and Environmental Management, 27(3), 1375–1394. CrossRef Wang, F., Zhang, Z., & Xu, L. (2020). Corporate social responsibility and financial statement comparability: Evidence from China. Corporate Social Responsibility and Environmental Management, 27(3), 1375–1394. CrossRef
go back to reference Webber, S. S., & Donahue, L. M. (2001). Impact of highly and less job-related diversity on work group cohesion and performance: A meta-analysis. Journal of Management, 27(2), 141–162. CrossRef Webber, S. S., & Donahue, L. M. (2001). Impact of highly and less job-related diversity on work group cohesion and performance: A meta-analysis. Journal of Management, 27(2), 141–162. CrossRef
go back to reference Westphal, J. D., & Milton, L. P. (2000). How experience and network ties affect the influence of demographic minorities on corporate boards. Administrative Science Quarterly, 45(2), 366–398. CrossRef Westphal, J. D., & Milton, L. P. (2000). How experience and network ties affect the influence of demographic minorities on corporate boards. Administrative Science Quarterly, 45(2), 366–398. CrossRef
go back to reference Wintoki, M. B., Linck, J. S., & Netter, J. M. (2012). Endogeneity and the dynamics of internal corporate governance. Journal of Financial Economics, 105(3), 581–606. CrossRef Wintoki, M. B., Linck, J. S., & Netter, J. M. (2012). Endogeneity and the dynamics of internal corporate governance. Journal of Financial Economics, 105(3), 581–606. CrossRef
go back to reference Xu, Y., Zhang, L., & Chen, H. (2018). Board age and corporate financial fraud: An interactionist view. Long Range Planning, 51(6), 815–830. CrossRef Xu, Y., Zhang, L., & Chen, H. (2018). Board age and corporate financial fraud: An interactionist view. Long Range Planning, 51(6), 815–830. CrossRef
go back to reference Ye, D., Deng, J., Liu, Y., Szewczyk, S. H., & Chen, X. (2019). Does board gender diversity increase dividend payouts ? Analysis of global evidence. Journal of Corporate Finance, 58(January 2018), 1–26. CrossRef Ye, D., Deng, J., Liu, Y., Szewczyk, S. H., & Chen, X. (2019). Does board gender diversity increase dividend payouts ? Analysis of global evidence. Journal of Corporate Finance, 58(January 2018), 1–26. CrossRef
go back to reference Yeung, W. H., & Lento, C. (2018). Ownership structure, audit quality, board structure, and stock price crash risk: Evidence from China. Global Finance Journal, 37, 1–24. CrossRef Yeung, W. H., & Lento, C. (2018). Ownership structure, audit quality, board structure, and stock price crash risk: Evidence from China. Global Finance Journal, 37, 1–24. CrossRef
go back to reference Young, S., & Zeng, Y. (2015). Accounting comparability and the accuracy of peer-based valuation models. The Accounting Review, 90(6), 2571–2601. CrossRef Young, S., & Zeng, Y. (2015). Accounting comparability and the accuracy of peer-based valuation models. The Accounting Review, 90(6), 2571–2601. CrossRef
go back to reference Zalata, A. M., Tauringana, V., & Tingbani, I. (2018). Audit committee financial expertise, gender, and earnings management: Does gender of the financial expert matter? International Review of Financial Analysis, 55, 170–183. CrossRef Zalata, A. M., Tauringana, V., & Tingbani, I. (2018). Audit committee financial expertise, gender, and earnings management: Does gender of the financial expert matter? International Review of Financial Analysis, 55, 170–183. CrossRef
go back to reference Zhang, J. H. (2018). Accounting comparability, audit effort, and audit outcomes. Contemporary Accounting Research, 35(1), 245–276. CrossRef Zhang, J. H. (2018). Accounting comparability, audit effort, and audit outcomes. Contemporary Accounting Research, 35(1), 245–276. CrossRef
go back to reference Zhang, Z., Ntim, C. G., Zhang, Q., & Elmagrhi, M. H. (2020). Does accounting comparability affect corporate employment decision-making? British Accounting Review, 52(6), 100937. CrossRef Zhang, Z., Ntim, C. G., Zhang, Q., & Elmagrhi, M. H. (2020). Does accounting comparability affect corporate employment decision-making? British Accounting Review, 52(6), 100937. CrossRef
Metadata
Title
Board diversity and financial statement comparability: evidence from China
Authors
Ding Ning
Irfan-Ullah
Muhammad Ansar Majeed
Aurang Zeb
Publication date
12-05-2022
Publisher
Springer International Publishing
Published in
Eurasian Business Review / Issue 4/2022
Print ISSN: 1309-4297
Electronic ISSN: 2147-4281
DOI
https://doi.org/10.1007/s40821-022-00214-3

Other articles of this Issue 4/2022

Eurasian Business Review 4/2022 Go to the issue

Premium Partner