The Right Man for the Job

Abstract: The finance industry has traditionally been male-dominated, and despite recent efforts to attract more female applicants, the gender segregation still prevails. The investment banking industry, in particular, is notoriously male-dominated. Through this qualitative case study, the authors aim to understand why female business students at top schools choose to pursue or not pursue a career in investment banking. The case study was conducted at the Stockholm School of Economics through fourteen in-depth interviews with female business students. The theoretical framework used was social identity theory and social identity threat. This framework was used to understand how the students balance their identities regarding their future occupation, and what the possible conflicts are. Through the study, the authors found that there are several identities at play when students consider their future career: Gender identity and non-work identity are in conflict with the perceived identity of an investment banker, which can deter female students from choosing a career in investment banking. The elite identity is aligned with the investment banker identity and can thus explain why female students would choose a career in investment banking. In more general terms, the study contributes to an understanding of why gender segregation still is prominent in the investment banking industry and the results of the study could help reduce this segregation by understanding how to attract more female students.