CORPORATE GOVERNANCE

Corporate Governance



Abstract

While the economic and sociological views disagree about which organizational constituents are most critical, both perspectives agree that the resolution of conflicts between key actors is an important element of corporate governance. Both perspectives also concur that corporate governance plays a key role in every economy. A well-functioning corporate governance system can contribute to national wealth, economic efficiency, and perhaps even social equity. A poorly conceived system can wreak havoc on the economy by misallocating resources or failing to check opportunistic behaviors. Given the ability of block holders to secure greater control, they are able to pursue ...