Empowering Change: Female External Directors and the Evolution of Corporate Governance in Japan

This paper explores the significant shift in Japan’s corporate governance landscape, emphasizing the integration of gender diversity with a focus on female external directors. By juxtaposing Japan’s stakeholder-oriented model with international shareholder-centric practices, this study delves into the institutional and cultural transformations driving this evolution. The study provides a comparative analysis of board composition changes post-2015 and discusses the challenges and progress in enhancing gender diversity. With a focus on the pivotal role of external directors in fostering corporate accountability and performance, the research underscores the need for strategic policy reforms to increase female participation, which is critical for the advancement of corporate governance in Japan.