Diversity in human and social capital: Empirical evidence from Asian tourism firms in corporate board composition

This study examines the links between the composition of the board of directors of 85 tourism firms in China, Hong Kong, Malaysia and Singapore and firm performance for the period 2001 to 2012. Distinctions are made between the composition of boardʹs human and social capital, and it is generally found that diversity in boardʹs social capital is positively related with firm performance, especially during periods of crisis. Nonlinearities are found in the relationship between diversification of board and firm performance, suggesting that an over-diversification of the composition of human and social capital can impede firm performance. Various recommendations are made based upon the findings.