Purpose This study provides a comprehensive review of the board ethnic diversity (BED) literature, integrating both theoretical and empirical evidence, and identifying key limitations. Design/methodology/approach Employing a three-step systematic literature review (SLR) approach, we analysed 121 studies published in top-ranked ABDC journals between 1992 and 2025 across several disciplines, including management, accounting, finance, economics, human resources, marketing, tourism, and logistics. Findings Our review reveals a fragmented field dominated by quantitative studies that lack contextual depth and a clear definition of BED. Moreover, existing research primarily concentrates on developed nations, adopts a Western perspective on ethnicity, and often overlooks institutional differences. Although the studies often report a positive relationship between BED and corporate outcomes, relatively little attention has been paid to its antecedents and barriers. Finally, the review indicates that despite widespread diversity, equity, and inclusion (DEI) rhetoric, ethnic minorities remain underrepresented in boardrooms and continue to face subtle discrimination and social barriers that hinder their chances of securing board positions. Practical implications The literature suggests that BED has implications beyond firm performance. While some studies associate it with improved governance quality, transparency, and innovation, the review also highlights its broader institutional significance as societies increasingly demand representation and inclusion in corporate leadership. At the same time, recent political and shareholder backlash against DEI initiatives, especially in the U.S., has intensified debate around the legitimacy and role of such policies. In this contested context, the literature indicates that organisations and regulators should approach BED not merely as a driver of performance, but as a governance issue linked to accountability, representation, and legitimacy. Originality/value To the best of our knowledge, this is the first comprehensive review of the state-of-the-art on BED. We propose an integrative framework that highlights the key dimensions of BED and explains their relationship with corporate outcomes. We also shed light on critical gaps in the literature and outline an agenda for future research.
Igwe et al. (Wed,) studied this question.