Corporate Governance and Financial Performance: An Empirical Investigation in the Indian Context

Abstract

This study examines the relationship between corporate governance mechanisms and firm performance among Nifty100 companies listed on the NSE in India. The currently study is used secondary data source which have been collect from Capitaline and prowess IQ database and using regression analysis, the research assesses how key governance factors—including board size, gender diversity, leverage, firm size, and Tobin’ Q affect firm performance measured through Return on Assets (ROA). The empirical findings reveal that leverage and Tobin’s Q demonstrate a significant positive association with firm performance, while board size shows a negative but statistically insignificant impact. Board diversity on corporate boards exhibits a positive relationship with ROA, suggesting potential benefits of diverse board composition, though its effect remains limited.