Introduction

Leadership has a big social impact, according to behavioral science research. Because effective and efficient leadership is the foundation of all economic and organizational systems (Barrow-Green, 1997). One of the most consequential and enduring changes in social and economic history has been the rise of women in the workforce (Khushk et al. 2022). Numerous studies have been done on how women and leadership interact. Increasing empirical evidence demonstrates that enhancing women’s participation in leadership positions offers benefits beyond improving workplace gender equality (Clarke, 2011; Jiang et al. 2022). The likelihood of company growth is improved when women hold senior management roles (Torchia et al. 2011).

In a situation of tough competition, fast technological advancement, and ever-changing consumer requirements, businesses need to involve in innovative activities with the help of their resources/knowledge (Levinthal and March, 1993; Wen et al. 2023). Therefore, it is important to know how organizations become successful in innovation. Conventional literature emphasizes the economic and structural factors, such as organizational structures, resources, capabilities, skills, approaches, systems, styles, and so on (Christensen et al. 2004; Tanveer et al. 2013; Usman et al. 2021). However, with the current advancement in the literature, human capital is now considered an important element of innovation (Woolley and Malone, 2011). Consequently, attention has also been diverted to identifying women’s role/contribution/impact as a leader in shaping corporate innovation (Carayannis, 2013).

There are certain phenomena relevant to women’s leadership, particularly in the context of the developing world. The first one is gender washing strategies, where organizations claim that they are in support of gender equality, but as a matter of fact, within the organization, these entities are not providing equal opportunities to women (Gerard, 2019). The second phenomenon is impostor syndrome, which is a psychological phenomenon in which individuals, including women, frequently doubt their capabilities (Bravata et al. 2020). The third concern is the glass ceiling, which represents different obstacles that limit women’s participation in leadership positions (Chisholm-Burns et al. 2017). The fourth challenge to women’s leadership is the glass cliff, where the top positions are granted to females, particularly during times of crisis and instability (Sabharwal, 2015).

In a traditional male-dominant business society, females hold a minority population, particularly in the innovation/R&D sector (Chen et al. 2024). According to the 2020 statistics given by UNESCOFootnote 1, females make up only 31% of the R&D workforce around the globe. The said report also highlighted that female participation as R&D researchers is 49.6% in Central Asia, 44.2% in Latin America and the Caribbean, 26.7% in East Asia and the Pacific, 24.3% in South Asia, and 24.3% in West Asia (Statistics, 2023). Nevertheless, female employees significantly contribute to the R&D and high-tech sectorsFootnote 2. Modern empirical findings have supported such a narrative that the diversity among gender can potentially increase the level of knowledge (Baron et al. 2024), mainly the distinctive sorts of knowledge females might acquire (Szadvári et al. 2023). Therefore, it is assumed that female leaders are the unexplored resources that significantly impact firm performance and innovation (del Mar Fuentes‐Fuentes et al. 2023).

While the temperament of males and females towards technology/innovation is similar, the impact of cultural and social norms/patterns avert females from getting the same opportunities (Mendonça and Reis, 2020). Females are normally under-represented in the field of technology and science, and also hold a much smaller percentage among scientists as compared to males, e.g., in Europe, around 52% of the total employeesFootnote 3. The total number of female patents filed across different disciplines and regions is much lower than males. Statistics also demonstrate that there are fewer female inventors in a variety of countries, including 21% in Latin America and the Caribbean, 17% in Asia, 15% in North America, 14% in Europe, and 13% in Africa and Oceania (Forum, 2024). Similarly, female faculty members have lesser representation at the leading universities and scientific institutes. They also have a much lower number of distinguished scholarships, permanent contracts, and scientific honors (Mousa, 2023). Furthermore, females’ participation in significant and prominent forums is minimal, e.g., national-level academies, scientific associations, advisory/editorial boards, etc. (Spoon et al. 2023).

Corporations and governments, particularly in developed economies, have increasingly focused on implementing corporate governance codes that promote the induction and enhancement of female leaders and managers. However, most developing economies have yet to fully observe the impact of these initiatives, resulting in a knowledge gap regarding the influence of women’s leadership on corporate innovation in these contexts. This disparity raises pertinent questions about the potential role of gender diversity in driving innovation in regions grappling with distinct socio-economic and cultural dynamics. While the integration of women into leadership positions has gained traction in the developed world, the mechanisms through which their perspectives and experiences shape organizational strategies, decision-making processes, and ultimately the propensity for innovation remain largely unexplored in the developing world.

The novelty of this research lies in the concept of choosing the topic and the study sample. This study aims to fill the existing gap by examining the impact of female leadership on corporate innovation, particularly in the context of developing economies. This study also sheds light on potential avenues for leveraging diverse perspectives to foster a culture of creativity and adaptability within organizations operating in these dynamic environments. This study is unique in that we use firm-level data from the World Bank Enterprise Survey to investigate such a relationship. The study specifically selects manufacturing firms from 29 developing countries. The findings validate the notion that having women as business leaders enhances corporate innovation. Female leaders and managers are as important as males in making firms more innovative.

The rest of this work is organized in five section. The second section outlines the philosophy of the study. The third section depicts the study’s data and research design. Section four summarises the findings and outcomes, and section five concludes the paper.

Theoretical perspectives

Literature review

Only a few studies investigate the role of female leadership in making firms more innovative, particularly in emerging economies (Attah-Boakye et al. 2020; Hossain et al. 2021). Instead, the majority of existing papers either write from the perspective of developed economies or explore the impact of gender-based leadership diversity on financial outcomes such as firm performance and market value. Torchia et al. (2011) reported a significant positive association between female managers and corporate innovation in Norwegian firms. Similar findings were reported by Østergaard et al. (2011). Díaz-García et al. (2013) evaluated the empirical analysis of Spanish manufacturing enterprises to uncover that leadership diversity based on gender among R&D groups is necessary to create innovation. Abdullah et al. (2016) evaluated the impact of gender diversity among business leaders on firm value in the Malaysian economy. The authors reported that male managers dominate half of the surveyed manufacturing firms. Therefore, the empirical findings didn’t explore the role of female managers. García and Velasco (2016) examined the influence of female leaders on corporate innovation. Using empirical data, the authors reported that female leaders and managers do not actively play a role in making firms more innovative. Singh and Delios (2017) studied Indian manufacturing firms and found that most firms appoint their leaders based on their relationships, capabilities, and skills, which subsequently enhance firm performance.

The studies also suggested that leadership diversity (based on gender) impacts corporate innovation (Griffin et al. 2019), e.g., Dai et al. (2019) confirmed that higher female managerial representation integrates knowledge and improves innovativeness. Na and Shin (2019) investigated the role of female managers in shaping corporate innovation, particularly among manufacturing concerns across Eastern Europe and Central Asian economies. Griffin et al. (2019) examined the effect of gender diversity on innovation by considering the total patents registered in USPTO by firms worldwide. According to the research, gender is a key aspect of making a company innovative.

Some recent research articles also document the women leadership and innovation nexus. Nair (2020) studied and found a strong linkage between women entrepreneurship and innovation. Moreover, such women empowerment has positive consequences for sustainable economic growth. Attah-Boakye et al. (2020) revealed that diversity among managers based on gender is positively associated with corporate innovation. Javaid et al. (2021) discovered that the gender of the CEO is important in developing creative output by improving the governance structure in the context of Chinese firms. According to Avenyo and Kraemer-Mbula (2021), female-owned enterprises are less likely to generate product breakthroughs, but they do sell them. Lee and Chung (2022) verified that higher gender diversity among top management enhanced innovations; however, their impact decreased. Azeem et al. (2022) explored that the similar gender of owner and manager (i.e., female) promotes innovation that leads to firm productivity.

Hypothesis development

Compared to other demographic indicators such as age, education level, functional expertise, and seniority, gender is considered a richer and much more complex indicator that impacts managerial socio-cognitive behavior (Jiménez and Fuentes, 2015). The Upper Echelons philosophy demonstrates that the demographic structure of top management influences firms’ choices, decisions, performance, and outcomes (Hambrick, 2007). Similarly, Critical Mass (CM) theory also recommends that gender diversity among top management creates a heterogeneous group that subsequently creates better collaboration, allowing high-quality decision-making and enhancing creativity and innovation (Torchia et al. 2011).

The literature documents that some differences between males and females are due to preferential divergence (Croson and Gneezy, 2009; Hossain et al. 2021; Mendonça and Reis, 2020). But no strong justification is available to support these arguments, as gender diversity hasn’t also been widely studied in innovative studies (Nählinder, 2010). The reason for such an absence of gender diversity in the literature might be because of the invisibility of humans as a factor in shaping innovation (Alsos et al. 2013). Therefore, if humans are invisible in any innovation-related discussion, gender will also become invisible (Brännback et al. 2012). However, it doesn’t mean that gender is irrelevant to innovational activities. Literature provides evidence that female leaders are as important as males for innovation; however, most of the time, females are engaged in sectors like retail, admin, services, etc. (Verheul et al. 2005).

Though naturally, males and females are not similar, by endorsing their societal responsibilities, males and females obey the norms and patterns imputed to such responsibilities, which subsequently shape their diverse behaviors (Bendell et al. 2020; Heilman et al. 2004). Some individuals are likely to be more innovative as compared to their counterparts (Morrison et al. 2000). Studies also indicate that behavioral characteristics can describe the possibility of cultivating solutions or promoting innovations (Wang et al. 2006). Moreover, such traits might vary based on gender (Croson and Gneezy, 2009).

The arguments on workstation leadership diversity concerning gender can also be understood by the “value in diversity” approach (Xie et al. 2020) which states that diversity in terms of gender could enhance the accessibility of information that brings various perceptions and builds knowledge (Ely and Thomas, 2001). Numerous studies have supported this view and shown that gender-based leadership diversity stimulates creativity and innovation (O’Reilly III et al. 1998). Moreover, women leadership also has some social benefits, e.g., males are more confident and task-oriented, whereas females are more receptive and process-focused (Myaskovsky et al. 2005). Therefore, the representation of females could accelerate the communication process and subsequently enhance mutual understanding and information sharing (Joshi and Jackson, 2003).

Women leadership is also important information for potential investors and stakeholders, which shows the top management’s productivity and the enterprise’s capability (García and Velasco, 2016; G. V. Krishnan and Parsons, 2008). Moreover, the distinctions among male and female social conduct, management techniques, intellectual resources, and investment tactics do have an impact on the estimation of prospective investors and stakeholders regarding the abilities of managers to make effective decisions, exploit market prospects, and increase firm performance (Akbar et al. 2022; Francoeur et al. 2008). The gender diversity of management teams can foster innovation, as creativity arises from the combination of diverse ideas and points of view (Fernández, 2015). Therefore, this study aims to address critical questions regarding the role of women in leadership in shaping corporate innovation, particularly in the context of developing economies. More importantly, the findings of this study also shed light on potential avenues for leveraging diverse perspectives to foster a culture of creativity and adaptability within organizations operating in these dynamic environments. Based on the aforementioned discussion, we can hypothesize that:

Hypothesis: Women leadership has a positive impact on corporate innovation.

Methodology, models, and variables

Methodology

We have collected firm level data from the World Bank Enterprise Survey. It’s a broad database of firms operating in developing economies and assembles information on multiple themes, e.g., business environment, infrastructure, innovation, services, management policies, etc. We only consider manufacturing firms operating in 29 developing countries from 2015 to 2018. As a whole, we have more than 20,000 firm-year observations that represent a significantly large dataset. We restrict the scope of this study to the manufacturing sector since the regulatory and economic settings of financial organizations are distinct.

Models

Based on the dataset’s structure, we used probit and ordered probit regression analysis techniques to identify the relationship between women leadership and corporate innovation. Moreover, we have also used the year-fixed effects in our regression models. The following are the empirical models that we have used in this study.

$$\begin{array}{l}{\rm{Product}}\; {\rm{Innovation}}_{{itk}}={\beta }_{0}{+\beta }_{1}{\rm{Women}}\; {\rm{Leadership}}_{{itk}}\\\qquad\qquad\qquad\qquad\qquad\quad+\,\mathop{\sum }\limits_{j=1}^{7}{\beta }_{j}{\rm{Control}}\; {\rm{Variables}}_{{itk}}+\varepsilon\end{array}$$
$$\begin{array}{l}{\rm{Process}}\; {\rm{Innovation}}_{{itk}}={\beta }_{0}{+\beta }_{1}{\rm{Women}}\; {\rm{Leadership}}_{{itk}}\\\qquad\qquad\qquad\qquad\qquad\quad+\,\mathop{\sum }\limits_{j=1}^{7}{\beta }_{j}{\rm{Control}}\; {\rm{Variables}}_{{itk}}+\varepsilon\end{array}$$
$$\begin{array}{l}{\rm{Innovation}}\; {\rm{Index}}_{{itk}}={\beta }_{0}{+\beta }_{1}{\rm{Women}}\; {\rm{Leadership}}_{{itk}}\\\qquad\qquad\qquad\qquad\quad\quad+\,\mathop{\sum }\limits_{j=1}^{7}{\beta }_{j}{\rm{Control}}\; {\rm{Variables}}_{{itk}}+\varepsilon\end{array}$$

Measurement of variables

Corporate innovation

Previous research has used several proxies to evaluate corporate innovation, such as R&D expenses (Oluwatobi et al. 2015), corporate R&D quotient (Cooper et al. 2017), number of patents (Tebaldi and Elmslie, 2013), and market value of innovativeness (Kogan et al. 2017). In contrast to the proxies stated above, we employ three alternative proxies to measure corporate innovation. The first proxy to measure corporate innovation is product innovation, which is a dummy variable that indicates the value of 1 if the firm is engaged in product innovation and 0 otherwise. Similarly, the second proxy is also a dummy variable that represents the value of 1 if the firm is involved in any process innovation or 0 otherwise. Lastly, the third proxy is an aggregate index named the innovation index, constructed using both product innovation and process innovation. The index values range from 0 (no product or process innovation) to 2 (both product and process innovation).

Women leadership

We used four different proxies to quantify women leadership. The first proxy is pretty straightforward, and we used a dummy variable as a proxy of the female manager. Normally, developing countries have a male dominant corporate environment. In such an environment, the probability of an educated female top manager is very low. Therefore, she is assumed to be creative and innovative (Chen et al. 2019). Secondly, based on the study of Chen et al. (2019), we develop an interactive variable to describe the cumulative impact of female managers and their experience. We can assume female managers with higher experience are more innovative than their counterparts. Thirdly, we incorporate a proxy of female ownership as well. In developing countries’ corporate environments where most of the businesses are owned by males, a female representation as an owner makes firms more innovative than their counterparts (El Kalak and Tosun, 2019). Lastly, by following the studies (Stenman and Nordblom, 2010), we construct an interactive proxy of the female owner and female manager to explain women leadership. It can be presumed that when both owner and manager belong to the same gender, i.e., female, the female managers are more innovative because of less communication gap, similar mindset, and higher acceptability of viewpoints.

Control variables

When conducting empirical analysis, the selection of control variables is critical. As we are using data from the World Bank Enterprise Survey, we have to choose control variables from the database. The aforementioned database does have certain limitations, such as the lack of statistical data on tangibility, capital structure, assets, liabilities, and borrowings. As a result, we used different measures for the control variables, particularly firm size, age, legal status, and ownership structure. We use three proxies for firm size, i.e., small, medium, and large-size firms. All of these variables are dummy indicators, having a value of 1 if the firm is small, medium, or large and 0 otherwise. Similarly, we construct three dummy variables for firm legal status, i.e., sole proprietorship, partnership, and company, showing a value of 1 if the firm is a sole proprietorship, partnership, or company and 0 otherwise. We also generate three indicators to define firm ownership status, i.e., domestic-owned firms, foreign-owned firms, and government-owned firms. We generate these variables based on the ownership percentage. Finally, we use firm age as a control variable and measure it as the total number of years since firm incorporation. It is pertinent to mention here that we did not use the log value of firm age because firm age is a discrete, non-negative variable, and applying log to such a variable can introduce biases and misinterpretations.

Results and discussion

Table 1 provides a description of the frequencies and other statistics of the variables. As per the summary statistics, 42.4% and 39.8% of the sample are actively involved in both innovation (i.e., product and process innovation. Female representation among our sample firms is 15.3% as a top manager, 30.02% as an owner, and 11.3% as both top manager and owner. The composite variable for female managers and experience shows an average value of 2.533. Moreover, we have small, medium, and large firms in our dataset, representing 41.3%, 37.1%, and 21.6%, respectively. Our dataset consists of sole-proprietorship firms, partnership firms, and companies with average values of 42.9%, 15.6%, and 41.5%, respectively. We have 91% firms owned by domestic, 3.8% foreign, and 5.2% government. Lastly, sample of the study shows that firm age has average of 20.636 years.

Table 1 Descriptive statistics.
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Table 2 presents the Pearson correlation coefficients of the variables. The coefficients are acceptable and suggest that we don’t have multi-collinearity in our dataset.

Table 2 Pearson correlation coefficient.
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Table 3 reports the regression results regarding the impact of women leadership on corporate innovation. Firstly, we run the Hausman statistics by using both logit and probit models to choose between a fixed effect and a random effect model. As per the reported results of the Hausman test, p-values are larger than 0.10; therefore, we fail to reject the null hypothesis. The null hypothesis of the Hausman test is that the preferred model is random effects. These values suggest that the random effects model is more appropriate, indicating no significant endogeneity. Thus, we use the panel data probit regression technique with random effect models. Particularly, as per the results shown in column 1 (Table 3), firms are more innovative in the presence of female top managers than their male counterparts. Moreover, highly experienced female leaders are more innovative than their counterparts (Column 2, Table 3). Similar to female managers, firms are more innovative in the presence of female owners than their male counterparts (Column 3, Table 3). Lastly, empirical results support the narrative that firms are more innovative when top managers and owners are female (Column 4, Table 3).

Table 3 Impact of women leadership on product innovation.
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Table 4 describes the results of women leadership with process innovation. Moreover, the results of Hausman statistics are also mentioned in the table. Based on the Hausman results, the random effect model is appropriate, indicating no endogeneity concern. As per the results, all four proxies for female leadership present a positive and significant relationship with process innovation. These results suggest that, as compared to men, women in the roles of top manager and owner are involved in process innovation. These outcomes are also statistically significant and align with previous studies.

Table 4 Impact of women leadership on process innovation.
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Table 5 explains the results of women leadership using the innovation index as a dependent variable. We choose random effect ordered probit regression models based on the higher p-value of the Hausman statistic. The said results also verify the absence of an endogenity issue. The regression findings support our hypothesis, i.e., that women’s leadership has a positive impact on corporate innovation. Particularly, 1) female top managers are more innovative as compared to males; 2) female top managers with higher experience are more innovative as compared to managers with lower experience; 3) firms are more innovative in the presence of female owners as compared to males; and 4) firms with both female top managers and female owners are more innovative as compared to males.

Table 5 Impact of women leadership on innovation index.
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As far as control variables are concerned, the study’s findings illustrate that medium and large-size firms are more innovative than small-size firms. There are two explanations for that; first, innovative activities require long-term investments, and large firms have adequate cash flows to fund such projects. Second, large firms normally have an R&D department that can promote innovative activities (Aristizabal‐Ramirez et al. 2017). As compared to sole-proprietor entities, partnership firms and companies are more innovative. Because such entities have sufficient funds and professional experts to incorporate/continue innovative projects (Barasa et al. 2017). We found that foreign and government-owned firms are more innovative as compared to their counterparts. These results might be because foreign and government-owned firms have enough funds and a better environment to start/run innovative projects (Ayyagari et al. 2012). Lastly, the firm age shows a positive association with corporate innovation. These results suggest that older firms usually have a large customer base, and to retain their customers, they have to perform innovative activities (Aristizabal‐Ramirez et al. 2017).

These results verify the existence of the Upper Echelons (UE) and Critical Mass (CM) theories, which state that the demographic features (such as attitude, belief, and lifestyle) of the top management and leadership have an impact on strategic decision-making (Haider et al. 2022; Hambrick, 2007). Eagly (2009) proposed that males and females behave according to their beliefs and social roles in society. Similarly, Boulouta (2013) indicated that such beliefs could be implemented as social norms implanted in individual gender characteristics, professional expertise, current environments, and future opportunities. Likewise, these beliefs can form the top management’s mindset, attitude, and point-of-view, which consequently become substantial elements for running firms (Post and Byron, 2015). Moreover, the results of our study are also supportive of the study of Torchia et al. (2011), which stated that attaining Critical Mass (CM) makes it possible to enhance corporate innovation. The Critical Mass (CM) theory provides a compelling lens to understand the importance of women in corporate innovation. This theory posits that once a certain threshold of representation is reached, the minority group gains significant influence and can effectively shape organizational culture and decision-making processes.

Our findings are also supported by previous work, as the literature suggests that the diversity in the top management concerning gender can improve their abilities, such as solving conflicts, adapting to change, and integrating knowledge (H. A. Krishnan and Park, 2005). Moreover, females perform several roles in their personal and professional lives, subsequently improving their interpersonal and leadership skills. These skills are crucial in developing new ideas and converting them into realities (Ruderman et al. 2002). The positive impact of women leadership found through empirical analysis is derived from the diverse intellectual and social bases of females, which can subsequently impact their management style, capabilities, and knowledge, and these factors mentioned above are also important in creating corporate innovation (Kor and Mesko, 2013).

Women leadership in developing countries is affected by cultural and societal norms. Moreover, firms operating in the said countries are also subject to the same cultural norms. Women have traditionally played their roles in both family and community, including organizations, and faced challenges in reaching leadership positions. These challenges include lower access to education, limited training opportunities, higher cultural biases, and discriminatory practices.

Governmental support and initiatives could play an important role in shaping the landscape of female leadership. These initiatives include gender equality, supportive policies, and leadership training intended to help women get recognition and reduce barriers within organizations and society. Moreover, these initiatives could also be taken by NGOs and other societal groups.

To promote women leadership in developing countries, cultural change is needed. Approaches to leadership development and gender equality must be sensitive to the local cultural context, respecting traditional values and norms while challenging harmful practices that perpetuate gender inequality. Economic empowerment also plays a significant role in enabling women to assume leadership roles.

Conclusion

The relationship between gender diversity and creativity has garnered much attention, especially in innovation management (Mujahid, 2013). Current studies on the topic propose that women participation in top management can impact corporate innovation by incorporating viewpoints and utilizing knowledge, which can subsequently increase innovation and build a competitive edge (Díaz-García et al. 2013; Idrees et al. 2022). Moreover, female leaders can improve the firms’ capabilities in solving conflicts and dealing with ambiguous situations (Petrini, 1996). Through better utilization of female leaders, firms can perform much better in innovation. In other words, gender diversity can improve managerial capabilities in producing innovations (Smith-Doerr, 2004). It is anticipated that female leaders can improve corporate boards’ efficacy in several ways. They have a special talent for making people trust them (Arioglu, 2020). Another quality of women that enhances their capacity to manage unexpected situations is flexibility (Hassan and Ayub, 2019). Furthermore, female directors usually distribute power more freely than their male counterparts, encouraging teamwork [85].

Gender diversity has a number of advantages. It encourages corporate governance, fosters transparency, ensures moral behavior, and helps organizations adhere to regulatory standards (Gul et al. 2011). Despite research efforts, a gender imbalance in company board representation persists. Organizational stakeholders viewed women in leadership posts unfavorably, meaning that these beliefs benefit men while harming women. Prior studies have concentrated on the disparities in leadership effectiveness between men and women, diverting emphasis away from the factors that cause variation across business leaders. Moreover, it is also important to minimize the gender gap at the top-level corporate management and therefore numerous techniques can be used, e.g., reform initiatives, training programs, and career progression plans (Shortland, 2020). Professional development for women has been emphasized as crucial for enabling them to better understand themselves, manage difficult jobs, enhance themselves, improve their leadership potential, balance home and professional lifestyles, and form supportive social ties (Dilmaghani and Tabvuma, 2019).

Therefore, this research aimed to explore the impact of women leadership on corporate innovation, particularly in developing countries. It was hypothesized that a positive association might exist among said indicators. To verify such a narrative, firm-level data was collected using World Bank Enterprise Surveys. A sample of 23,340 observations from 29 developing countries from 2015 to 2018 was used. Innovation was measured as product innovation, process innovation, and innovation index. Furthermore, women leadership was quantified by using various proxies, i.e., 1) female top managers, 2) female top managers having experience, 3) female owners, and 4) having both female owners and female managers. The empirical findings support our hypothesis, i.e., there is a positive and statistically significant relationship between women leadership and corporate innovation.

This study has implications for policymakers and practitioners. In the current business environment, females are intentionally or unintentionally discriminated against by firms because females have to manage their family obligations as well, e.g., managing their houses and family members. This study elaborated on how firms can benefit from having female leaders in their management teams. Particularly, the results are important for organizations facing a higher degree of uncertainty and competition, and they can avoid such situations by building gender-balanced groups. Furthermore, policymakers can benefit from the findings of this study by providing social support to females to enhance their involvement in technology and innovation.

Apart from all the effective policy implications, this study is not free of limitations, e.g., we only collected data from the World Bank Enterprise Survey for developing countries. Future research can increase the scope by including other developed and developing economies, and a comparative study between developed and developing countries on the topic mentioned above can also be conducted. Moreover, future studies can also incorporate the effect of the institutional environment on the relationship between female leadership and corporate innovation. The other important aspects regarding female managers may also be incorporated into the empirical model, such as family, educational background, labor policies, etc.