CORPORATE GOVERNANCE VARIANCE BETWEEN COUNTRIES. Research Paper (Research Paper Sample)
the paper compares the differences between countries on corporate governance matters.
CORPORATE GOVERNANCE VARIANCE BETWEEN COUNTRIES
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Corporate Governance Variance between Countries
Corporate governance entails a series of processes that firms adopt to enhance their operations and achieve growth. It comprises of rules, government regulations or laws enacted to control the actions of businesses. The regulations are designed to affect various institutions that make up an organization. The terminology encompasses both internal and external factors that influence the activities of a company. Also, it entails the interests of a firm's stakeholders, shareholders, customers' perceptions, suppliers, and the government at large. Besides, overall company management is also a component of the aforementioned type of governance. It is a designed procedure that aims at directing and controlling companies. It is designed to formulate a systematic mechanism for effective allocation of corporate resources to achieve maximum value among its external and internal factors. For example, this strategy is essential where customers, shareholders, suppliers, employees, and the community are concerned about decision making and transparency in a firm's operations. As a restriction mechanism, some organizations opt to monitor financial expenditures as an effective method to enhance the efficient allocation of finances to sectors that are critical to a company's operations (Davies, 2016).
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