Culture Matters: Board Gender Diversity and ESG Disclosure in Family Firms

ABSTRACT

This study analyses how board gender diversity (BGD) affects ESG disclosure in family businesses, focusing on the moderating role of national cultural dimensions. It analyzes a sample of listed non‐financial firms operating in European Union countries. Results indicate that BGD's effectiveness in promoting ESG disclosure varies significantly across cultural contexts. In high‐power‐distance and strongly masculine cultures, the transformative capacity of women on boards is attenuated. In contexts with high individualism or marked uncertainty avoidance, BGD fosters greater transparency in family firms. Family firms are more sensitive than non‐family firms to cultural pressures in defining ESG disclosure strategies. This is the first study to highlight how cultural dimensions differentially moderate the relationship between BDG and ESG disclosure in family firms versus non‐family firms. It also provides relevant implications for scholars, firms, and policymakers interested in promoting inclusive and culturally aware governance.