Board Characteristics and Company Performance: Evidence from Nigeria

Edem Okon Akpan; Noor Afza Amran

doi:doi:10.11648/j.jfa.20140203.17

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Board Characteristics and Company Performance: Evidence from Nigeria

Edem Okon Akpan, Noor Afza Amran

Published in Journal of Finance and Accounting (Volume 2, Issue 3)

Received: 9 May 2014 Accepted: 3 June 2014 Published: 20 June 2014

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Abstract

This study examines the relationship between board characteristics and company performance (measured by turnover) in Nigeria. The study uses multiple regression technique on 90 sampled firms from the main board of Nigerian Stock Exchange from 2010 to 2012. The empirical evidence shows that board size and board education are positively and significantly related to company performance. While there is no relationship between board equity, board independence, and board age. Also, this study evidences a negative significant between board women and turnover. Their appointment is window dressing as the percentage is too small for meaningful positive effect on company performance. Based on this finding, the study recommends legislation mandating companies listed on Nigerian Stock Exchange to appoint at least 30 to 35% of women on the board of directors.

Published in	Journal of Finance and Accounting (Volume 2, Issue 3)
DOI	10.11648/j.jfa.20140203.17
Page(s)	81-89
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2014. Published by Science Publishing Group

Keywords

Corporate Governance, Board Characteristics, Company Performance, Nigeria

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Edem Okon Akpan, Noor Afza Amran. (2014). Board Characteristics and Company Performance: Evidence from Nigeria. Journal of Finance and Accounting, 2(3), 81-89. https://doi.org/10.11648/j.jfa.20140203.17

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Edem Okon Akpan; Noor Afza Amran. Board Characteristics and Company Performance: Evidence from Nigeria. J. Finance Account. 2014, 2(3), 81-89. doi: 10.11648/j.jfa.20140203.17

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Edem Okon Akpan, Noor Afza Amran. Board Characteristics and Company Performance: Evidence from Nigeria. J Finance Account. 2014;2(3):81-89. doi: 10.11648/j.jfa.20140203.17

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@article{10.11648/j.jfa.20140203.17,
  author = {Edem Okon Akpan and Noor Afza Amran},
  title = {Board Characteristics and Company Performance: Evidence from Nigeria},
  journal = {Journal of Finance and Accounting},
  volume = {2},
  number = {3},
  pages = {81-89},
  doi = {10.11648/j.jfa.20140203.17},
  url = {https://doi.org/10.11648/j.jfa.20140203.17},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20140203.17},
  abstract = {This study examines the relationship between board characteristics and company performance (measured by turnover) in Nigeria. The study uses multiple regression technique on 90 sampled firms from the main board of Nigerian Stock Exchange from 2010 to 2012. The empirical evidence shows that board size and board education are positively and significantly related to company performance. While there is no relationship between board equity, board independence, and board age. Also, this study evidences a negative significant between board women and turnover. Their appointment is window dressing as the percentage is too small for meaningful positive effect on company performance. Based on this finding, the study recommends legislation mandating companies listed on Nigerian Stock Exchange to appoint at least 30 to 35% of women on the board of directors.},
 year = {2014}
}

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TY  - JOUR
T1  - Board Characteristics and Company Performance: Evidence from Nigeria
AU  - Edem Okon Akpan
AU  - Noor Afza Amran
Y1  - 2014/06/20
PY  - 2014
N1  - https://doi.org/10.11648/j.jfa.20140203.17
DO  - 10.11648/j.jfa.20140203.17
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
SP  - 81
EP  - 89
PB  - Science Publishing Group
SN  - 2330-7323
UR  - https://doi.org/10.11648/j.jfa.20140203.17
AB  - This study examines the relationship between board characteristics and company performance (measured by turnover) in Nigeria. The study uses multiple regression technique on 90 sampled firms from the main board of Nigerian Stock Exchange from 2010 to 2012. The empirical evidence shows that board size and board education are positively and significantly related to company performance. While there is no relationship between board equity, board independence, and board age. Also, this study evidences a negative significant between board women and turnover. Their appointment is window dressing as the percentage is too small for meaningful positive effect on company performance. Based on this finding, the study recommends legislation mandating companies listed on Nigerian Stock Exchange to appoint at least 30 to 35% of women on the board of directors.
VL  - 2
IS  - 3
ER  -

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Author Information

Edem Okon Akpan

Othman Yeop Abdullah Graduate School of Business, Universiti Utara Malaysia, Sintok Kedah, Malaysia
Noor Afza Amran

School of Accountancy, College of Business, Universiti Utara Malaysia, Sintok Kedah, Malaysia

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Edem Okon Akpan, Noor Afza Amran. (2014). Board Characteristics and Company Performance: Evidence from Nigeria. Journal of Finance and Accounting, 2(3), 81-89. https://doi.org/10.11648/j.jfa.20140203.17

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Edem Okon Akpan; Noor Afza Amran. Board Characteristics and Company Performance: Evidence from Nigeria. J. Finance Account. 2014, 2(3), 81-89. doi: 10.11648/j.jfa.20140203.17

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AMA Style

Edem Okon Akpan, Noor Afza Amran. Board Characteristics and Company Performance: Evidence from Nigeria. J Finance Account. 2014;2(3):81-89. doi: 10.11648/j.jfa.20140203.17

Copy | Download

@article{10.11648/j.jfa.20140203.17,
  author = {Edem Okon Akpan and Noor Afza Amran},
  title = {Board Characteristics and Company Performance: Evidence from Nigeria},
  journal = {Journal of Finance and Accounting},
  volume = {2},
  number = {3},
  pages = {81-89},
  doi = {10.11648/j.jfa.20140203.17},
  url = {https://doi.org/10.11648/j.jfa.20140203.17},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20140203.17},
  abstract = {This study examines the relationship between board characteristics and company performance (measured by turnover) in Nigeria. The study uses multiple regression technique on 90 sampled firms from the main board of Nigerian Stock Exchange from 2010 to 2012. The empirical evidence shows that board size and board education are positively and significantly related to company performance. While there is no relationship between board equity, board independence, and board age. Also, this study evidences a negative significant between board women and turnover. Their appointment is window dressing as the percentage is too small for meaningful positive effect on company performance. Based on this finding, the study recommends legislation mandating companies listed on Nigerian Stock Exchange to appoint at least 30 to 35% of women on the board of directors.},
 year = {2014}
}

Copy | Download

TY  - JOUR
T1  - Board Characteristics and Company Performance: Evidence from Nigeria
AU  - Edem Okon Akpan
AU  - Noor Afza Amran
Y1  - 2014/06/20
PY  - 2014
N1  - https://doi.org/10.11648/j.jfa.20140203.17
DO  - 10.11648/j.jfa.20140203.17
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
SP  - 81
EP  - 89
PB  - Science Publishing Group
SN  - 2330-7323
UR  - https://doi.org/10.11648/j.jfa.20140203.17
AB  - This study examines the relationship between board characteristics and company performance (measured by turnover) in Nigeria. The study uses multiple regression technique on 90 sampled firms from the main board of Nigerian Stock Exchange from 2010 to 2012. The empirical evidence shows that board size and board education are positively and significantly related to company performance. While there is no relationship between board equity, board independence, and board age. Also, this study evidences a negative significant between board women and turnover. Their appointment is window dressing as the percentage is too small for meaningful positive effect on company performance. Based on this finding, the study recommends legislation mandating companies listed on Nigerian Stock Exchange to appoint at least 30 to 35% of women on the board of directors.
VL  - 2
IS  - 3
ER  -

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