Board Diversity and Firm Performance in Nigeria

The study examines the relationship between board diversity and firm performance in Nigeria. The study adopted the cross-sectional research design using data from all the banks quoted on the Nigerian Stock Exchange from 2010-2015. The multiple regression technique is the basis of the data analysis, specifically the ordinary least square regression (OLS) technique to estimate the coefficients of the variables in the model specified. The study found a negative and insignificant relationship between ethnic diversity and frim performance; in the same vein, a negative and insignificant relationship was observed between nationality diversity and firm performance; Gender diversity exhibit a negative and significant relationship with firm performance. We recommend that since gender diversity is significant but negative, management and regulatory bodies should make policy statements towards the inclusion of more women to attain the optimum number that will enhance the performance of the firm going by the time-tested theory of critical mass.