A Critical Analysis of Corporate Governance Financial Essay
These corporate social responsibility and sustainability CSR issues pose significant threats to the business and this article conducts a risk analysis and provides risk management strategies. Abstract. In this article we discuss some of the initial ideologies regarding corporate governance, focusing in particular on the principal-agent approach that dominates the literature. We detail. Corporate governance was first developed as a concept and field of research for private listed companies. The idea of developing corporate governance standards quickly spread to other sectors, especially banks, insurance companies and other financial institutions. But after the financial crisis it became apparent that corporate governance is not only a practice in banks that defines all mechanisms, procedures, processes and relationships through which companies are controlled and managed. Governance structures and principles emphasize the allocation of responsibilities and rights between the different parties in the company, such as: boards of directors, managers, Introduction. 'Corporate Governance' is the system by which the activities of the company are managed and controlled. Corporation is an artificial entity where the Board of Directors acts as the brains of the company and is responsible for its governance. The role of appointing the board of directors lies with the shareholders. Applying such maxims to a medical product with life and death consequences was a major driver of Theranos' demise. The technology simply couldn't deliver on the promise. The gender factor also played a role, as Carreyrou highlighted in his book: “There was a desire to see a female entrepreneur break out and achieve success on the scale of all that. The global sustainability indices most commonly used by companies devote part of their analysis to aspects of corporate governance, such as the correlation between the governance dimension and its success. Prinsloo, FC 2013. Good governance in South Africa: a critical analysis. Technical report, development and environment. Stellenbosch University · 9. The International Journal of Finance amp Economics is a leading economics and finance journal that publishes issues in the financial field that impact the global economy. Summary This study provides a comprehensive overview of the theoretical and empirical literature on the relationship between corporate governance and financial problems and offers future perspectives,