Why diversity and inclusion in organizations or corporations are associated with improvements in financial targets or the company’s performance?

Question

Why diversity and inclusion in organizations or corporations are associated with improvements in financial targets or the company’s performance?

In: Economics

Answer 1

There are alternatives to the “diverse views create better outcomes” theory. That may be the case, but I suspect it’s not.

I think the more likely scenario is that the fastest growth areas of the last 10 years have been technology companies and financial services. Technology is well-known for having a progressive employee base and culture, but financial services is also pretty progressive as well.

So these companies have the capacity to implement these diversity and inclusion standards, want to implement them, and were likely going to be successful anyway.