Push for More Women on Boards of Large Companies

1.That women are underrepresented on boards of directors is an understatement. In the United States, only 16 percent of board members among the Fortune 500 are women. Among the 100 largest companies in Great Britain, women hold approximately 12 percent of board seats, a representation that has changed little over the past 5 years. In the European Union (EU) more generally, only 9.7 percent of the directors of the 300 largest companies are women. In China and India, the figure is roughly half that.

In response to such underrepresentation, many countries have enacted laws and guidelines. French law stipulates that corporate boards must be 20 percent female by 2014. A 2011 official British government report recommended that women make up at least 25 percent of the boards of the largest British companies. Belgium, Spain, the Netherlands, Norway, Iceland, and Italy have similar “pink quotas” in place, and Sweden is recommending 50 percent representation.

Sources: J. Werdigier, “In Britain, a Push for More Women on Boards of Large Companies,” The New York Times (February 25, 2011), p. B3; and J.

Galbreath, “Are There Gender-Related Influences on Corporate Sustainability? A Study of Women on Boards of Directors,” Journal of Management &

Organization 17, no. 1 (2011), pp. 17–38; and J. S. Lublin, “’‘Pink Quotas’ Alter Europe’s Boards,” The Wall Street Journal (September 12, 2012), p. B8.

Instructions:

Sign up in one of the pairs created in the Group set Module 2 Case Discussion. Bonus point for pairing up with a student coming from a different country than yours (alternative; different state).

In your group/pair discuss the following questions and post your answers by the deadline. Your answers should clearly address each question while at the same time be concise enough that the reader would not lose interest. Support your statements with evidence, research, example and/or personal experience.

Questions:

Given that women participate in the labor force in roughly the same proportion as men, why do you think women occupy so few seats on boards of directors?

Do you agree with the quotas established in many EU countries? Why or why not?

Beyond legal remedies, what do you think can be done to increase women’s representation on boards of directors?

2.Reflecting on what you learned of Hofstede’s and Meyer’s models of cultural differences:

• Think about a personal experience of an encounter with a culture different from your own: while traveling abroad, at work with diverse coworkers, at home with friends, in school with peers from various background, etc.
• Share how you felt and lived these differences, using the appropriate language from the models
• Discuss with your classmates