The Effect of Green Business Practices on Corporate Financialization with the Moderating Role of Female Directors
The Effect of Green Business Practices and Corporate Financialization with the Moderating Role of Female Directors
Subject Areas : Management Accounting
naser mastchaman 1 , Elnaz Akbarlou 2
1 - Assistant professor, Heris branch, Islamic Azad University, Heris, Iran
2 - Department of Accounting, Payame Noor University, Tehran, Iran
Keywords: Green Business Practices, Corporate Financialization, Small and Medium Enterprises, Female Directors.,
Abstract :
In business contexts, women act more ethically in the workplace and engage in less unethical behavior for financial rewards. Not only do women exhibit more risk aversion and ethical behavior, but they are also better at obtaining voluntary information, which may reduce the information asymmetry between female managers and senior managers. The present study examines the effect of green business practices on the financing of the company with the moderating role of the female board of directors. For this purpose, the number of 120 companies admitted to the Tehran Stock Exchange for the period of 2015-2022 was examined. The results show a positive relationship between green business practices and corporate financing. Also, the findings indicate that the existence of a female board of directors strengthens the positive relationship between green business practices and corporate financing in Iranian companies. However, for SMEs in the sample companies, this study does not support the relationship between green business practices and corporate financialization. Nevertheless, the moderating role of female management is more important among small and medium enterprises. The findings of this study may help policymakers in devising policies that are separately designed for small and medium enterprises and other enterprises in Iran.
