Corporate governance practices in Turkey: Board structure and gender issues

ABSTRACT: The objective of this study is to investigate the relationship between board structure characteristics and corporate governance practices with performance in Turkish firms. Board structure elements, including board size, duality, the board’s level of independence, and gender diversity are examined from agency theory perspective. The corporations’ age are used as a control variable, Turkey’s largest 50 companies whose shares are listed on the Istanbul Stock Exchange for the year 2011 are studied, and the ROA as the profitability indicator has been measured to explore the relevant relationships. Based on the analysis conducted in this research the only variable that is statistically significant and influences the ROA of Turkish corporations is board independence. This study uncovers that profitability declines in accordance with increasing the number of outsiders in the board. The study’s weaknesses and avenues for future research are also explored. Keywords: Board Structure, Gender, Corporate Performance …………………………………………………………………………………………………………………………………………………………………………………………………………