DMPQ: What is corporate governance? What are the importance of corporate governance? (polity)

Corporate governance is the system, principles and group of procedure through which company is governed. It is sum of those principles , ideal values and code which inspire an institution to behave morally and with transparency.

 

Importance of CG:

  • It is helpful in the increment of transparency, accountability and relevance.
  • To discuss policies among people and informing them.
  • Helps in taking effective decision.
  • Maintain transparency in exchange of business.
  • In accordance with the law.
  • Must exercise to protect the rights of the shareholders.
  • Adherence to the business values and moral behaviour.

 

 

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