Despite the steadily increasing volume of indexed studies on the critical importance of a board of directors towards firm performance, our understanding of their relationships at national levels remains unsettled and unsystematised. This is especially true of studies from geo-cultural niches like the Gulf Cooperation Council (GGC), of which Saudi Arabia is the dominant economy. To advance our understanding and synthesise the relevant literature, this study meta-analysed the extant studies on the board characteristics–firm outcomes relationships found among Saudi Arabian firms. Using a sample of 336 businesses and 2,098 firm-year observations, the study concluded that although the overall effect is small, the relationship between board characteristics and performance outcomes among Saudi firms is generally positive (z = 3.98, p <.001). The meta-analysis provides evidence for the correlation between several board characteristics (e.g., board size, board activity, board independence) and various firm performance metrics (e.g., return on assets, return on equity, Tobin’s Q, and share price) at the national level while noting the deviations from this norm.
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In-Text Citation: (Algthami & Hussin, 2022)
To Cite this Article: Algthami, N. M. J., & Hussin, N. (2022). Meta-Analytic Evidence for Board Characteristics as Correlates of Firm Performance Among Saudi Arabian Businesses. International Journal of Academic Research in Business and Social Sciences. 12(6), 405– 417.
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