Corporate reputation in Brazil: do board characteristics matter?
DOI:
https://doi.org/10.1108/rausp-01-2024-0002Keywords:
Corporate reputation, Board characteristics, Corporate governance, Signalling theory, Resourced-based view theoryAbstract
PurposeThis paper aims to analyse the influence of board characteristics on corporate reputation.
Design/methodology/approachIn total, 128 Brazilian publicly traded companies from Refinitiv Eikon were analysed between 2016 and 2020. The dependent variable was corporate reputation, whereas the independent variables were board size, gender diversity, board independence and audit committee presence. Multivariate analysis was used.
FindingsThe results presented empirical evidence that board members can impact corporate reputation. Findings showed that board size, gender diversity and independence positively influence Brazilian companies’ corporate reputation. Conversely, an audit committee had no significant impact on corporate reputation.
Research limitations/implicationsThe paper presents a contribution to the significance of board members in shaping a company's corporate reputation, using the signalling theory and the resource-based view (RBV) theory.
Practical implicationsRegarding practical implications, this work provides subsidies for managers to value board characteristics because they directly reflect on corporate reputation and competitive advantage, leading to more sustainable performance.
Social implicationsThe research findings highlight that a diverse board encourages the organisation to improve its workforce, human rights, relations with the community and responsibility for manufactured products.
Originality/valueThe relationship between board characteristics and corporate cooperation is poorly established in the literature. Furthermore, the results prove the RBV theory in an emerging context. Similarly, the signalling theory proved helpful in improving Brazilian firms’ corporate reputation.
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Further reading
Boyd, B. K., Bergh, D. D., & Ketchen, D. J. (2010). Reconsidering the reputation-performance relationship: A resource-based view. Journal of Management, 36(3), 588–609, doi: 10.1177/0149206308328507.
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Jensen, J. A., Cobbs, J. B., & Turner, B. A. (2016). Evaluating sponsorship through the lens of the resource-based view: The potential for sustained competitive advantage. Business Horizons, 59(2), 163–173, doi: 10.1016/j.bushor.2015.11.001.
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Copyright (c) 2025 Alan Bandeira Pinheiro, Nágela Bianca do Prado, Gustavo Hermínio Salati Marcondes de Moraes, Wendy Beatriz Witt Haddad Carraro Carraro
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Management Department of the School of Economics, Management and Accounting of the University of São Paulo.
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