02 March 2009

Why Women Managers Shine in a Downtown

In this article, Michel Ferrary, Professor of Management at Ceram Business School in France, finds that his research shows that companies with more women in management seem to be better protected against financial crisis. In contrast, companies with mainly male management had their stock prices decrease more than the French CAC 40 stock exchange index. The more women in the management, the less the share price decreased. There is a significant coefficient of correlation.

In conditions of high uncertainty, financial markets value companies that take fewer risks and are more stable. Several gender studies have pointed out that women behave and manage differently from men. They tend to be more risk-averse and to focus more on a long-term perspective. A larger proportion of female managers appears to balance the risk-taking behaviour of their male colleagues.

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