Factors of CEO and Board-of-Director Affecting Profitability of Family Businesses Listed in the Stock Exchange of Thailand

Abstract

The objectives of this research are to examine the factors of CEO and Board-of-Director affecting the profitability of family businesses listed in the Stock Exchange of Thailand. The study compares the effects of CEO factors and Board-of-Director factors on the profitability of the companies measured by Gross Profit Margin, Net Profit Margin, Return on Asset, and Return on Equity, employing financial data during 2007-2017. The results show that companies with women CEOs exhibit Gross Profit Margin different than those with men CEOs at statistically significant level of .05, while the differences with respect to profitability indicators of Net Profit Margin, Return on Asset and Return on Equity are not statistically significant at level of .05. Regarding the Board of Director factors, the companies with women family-member directorship exhibit Return of Asset and Return on Equity different than those with no women family-member directorship at statistically significant level of .05, while the differences with respect to Gross Profit Margin and Net Profit Margin are not statistically significant at level of .05.