National culture diversity in new venture boards: The role of founders' relational demography

Research Summary This study explains the conditions under which new venture boards are less or more culturally diverse in terms of their directors' country of birth. Longitudinal data on 5,515 Swedish ventures suggest that most directors are recruited from founders' proximate social settings—neighborhoods in which they reside and past workplaces—and that diversity levels in these social settings strongly predict the national culture diversity in...