The Diversity Dividend : Measurement and Empirical Findings

The field of Diversity, Equity, and Inclusion (DEI) rises to prominence in recent years among corporate executives and research scholars. Other than its social imperative, many start to question whether diversity relates to a firm’s business and stock performance, so-called the Diversity Dividend. This paper dissects current research and analysis of empirical findings of the Diversity Dividend, especially how industries are measuring the Diversity, and the statistical reference of those empirical findings. Our main findings are: the metrics of the Diversity Index is pretty diverse by itself, and most of the empirical studies concludes a positive relationship between the Diversity Index and the Diversity Dividend; however, more robust and coherent statistical analysis are needed to improve the precision of the results and verify the cause-effect relationships