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The aim of this study is to investigate the moderating role of cultural dimensions in the relationship between corporate governance mechanisms and financial performance, examining a sample of 9,316 companies from 47 countries. A mixed dataset with variables extracted at the company and country levels is statistically analysed, while multilevel robust regressions with random intercept modelling are used for econometric estimations. Based on information for the period 2020-2022, the moderating effects of three of the six cultural dimensions developed by Hofstede are examined at specific times of multiple constraints that could act as a stress factor in management decisions. The results show that the corporate governance-performance nexus is stronger in countries orientated toward masculinity, short-term benefits, and indulgence. Combining national cultural values, the national business system framework, agency, stakeholder, and legitimacy theories, the research provides nuanced empirical evidence of cultural tingent for academics and practitioners. The investigation shapes an original perspective, highlighting the need for culturally orientated corporate governance mechanisms. This approach complements the body of literature on corporate governance, financial performance, and national culture by demonstrating that the interaction between the governance score and cultural dimensions may play a pivotal role in shaping financial performance. Muchmore, the findings have valuable entrepreneurial implications for investors in resource allocation, while managers could broaden their scenarios for decision-making purposes, especially when companies face stakeholders from diverse cultural backgrounds.

This research examined the influence of board tenure diversity (BTD) on shareholder value creation (SVC) among 95 non-financial companies listed in South Africa. A quantitative quasi-experimental research design was employed. The data collection sources included integrated annual reports, the Who Owns Whom database and the Osiris database. The study used a fixed effects model to test the hypotheses.  BTD  was measured using the Blau index (BI_BTD), average tenure (AVE_TBM), standard deviation (SD_TBM), and coefficient of variation for tenure board members (TBM), as well as dummies for short tenured boards  (AVE_TBM  3) and long tenured boards (AVE_TBM 10)  The proxies of SVC  included standard market value added (SMVA), market-to-book ratio (MTB) and Tobin’s Q (TBQ). The results of curvilinear quadratic models indicate that all BTD  measures had both positive and negative influences on all SVC measures, highlighting an inverted  U-shaped effect. The inverted U-shape effect reflects a trade-off between beneficial knowledge accumulation and harmful entrenchment or coordination problems as board tenure diversity increases beyond an optimal level. Given the inverted  U-shaped effect, many proposals for corporate governance reform explicitly stress the importance of limiting board tenure.