Board Effectiveness and its Effect on Return on Equity as a Proxy of Firms Evidence from Emerging Markets

The goal of this article is to see if specific board qualities affect the financial performance of Jordanian manufacturing enterprises. The research utilizes a regression model on a sample of 56 Amman Stock Exchange enterprises for the fiscal years 2017-2022. According to the regression results, board features (size, meeting, and competence) are all positive and important in affecting business success. Although this conclusion contradicts the findings of several research conducted in rich countries, it is consistent with current emerging market studies. The current study does not cover all conceivable board features that assist business success, such as significant shareholder domination on the board and promoter and institutional holdings. Further investigation might look into the board's ownership structure in order to enhance the firm's performance. The findings of this work support the thesis of several previous studies that changes in corporate governance principles in emerging markets should go beyond following best practices in established markets and take into consideration country- and firm-specific factors. Unlike most corporate governance - firm performance research, this article focuses on listed non-financial enterprises rather than listed financial organizations. This study presents a comparative investigation of the influence of board qualities on firm performance of listed manufacturing businesses from a multi-theoretical approach. Furthermore, the study focuses on corporate governance problems such as board size, meeting frequency, and board expertise, as well as their impact on business performance. The topic examines the potential influence of board