How does female representation affect long-term firm performance? Capturing causal complexity with a configurational approach

Purpose Via dialectical perspective and configurational approach, this paper aims to explore the relationship between female representation and long-term firm performance when combined with environmental conditions. Design/methodology/approach For necessary condition analysis and time-series qualitative comparative analysis, a sample of 614 listed Chinese manufacturing firms between 2017 and 2020 was obtained. Findings The inclusion of female executives can aid firms in their long-term performance and resilience. Seven configurations, categorized as chimpanzee type, African elephant type and queen bee type, can prompt long-term firm performance. Chimpanzee-type configuration is the most prevalent path for firms to achieve long-term performance. Practical implications Firms could reconsider the role of female executives in achieving long-term success, assist in breaking the invisible “glass ceiling” and “glass cliff,” and refrain from viewing them as mere “tokens.” Policymakers can improve female representation by institutionally guaranteeing women’s opportunities for empowerment, education and promotion. Originality/value This study presents evidence for the legitimacy of female representation by demonstrating the intricate causality between female representation and firm performance beyond the controversy between business ethics and coercive policy. This paper also builds upon and extends the literature on female representation and provides alternative ways to improve female representation by combining female executives’ percentages, professionalism and positions.