Does Diversity Pay? The Business Case for Cultural Diversity

Employers increasingly suspect that a diverse workforce, relative to a homogeneous one, is generally beneficial for business, including but not limited to corporate profits and earnings.  Using data from the US 1996 to 1997 National Organizations Survey, this article tests eight hypotheses that there is value in diversity.  The results support seven of these hypotheses: cultural diversity is associated with increased sales revenue, more customers, greater market share, and greater relative profits.

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