Do Activist Investors Target Women C.E.O.s?
Academics at the University of Utah and Washington University in St. Louis conducted a study published in 2012 in which they showed a prospectus for an initial public offering to a group of 222 M.B.A. students, 45 of whom were women. One group was shown the prospectus with a male chief executive listed as leading the company. The other group was shown the same prospectus, but with a woman listed as the C.E.O.
The outcome was all too predictable. “Despite identical personal qualifications and firm financials, female founder/C.E.O.s were perceived as less capable than their male counterparts, and I.P.O.s led by female founder/C.E.O.s were considered less attractive investments,” the study found.
Researchers have also shown that executives who are women may be expected to be more likely to compromise and less likely to fight, which, for an activist seeking a role on the board, may make it a more attractive target.