Rethinking corporate governance - Essay Example

Research Portfolio for Analysis of Current Issues in Finance, 3BUS0386 Proposal based on the topic: “Rethinking corporate governance” Submitted by: [Name][Serial Number]Words: 535 (excluding references)1. Overview of the topicEvidence confirms that corporate governance directly correlates to performance in business organizations as well as nations. It is true that within government policy circles, academia, and press in the contemporary business environment the concept of corporate governance has sparked a lot of interest and concern (Barca & Becht, 2001).

Most of the current financial scandals within major economies resulting into loss of confidence amongst investors have been attributed to failure of such economies and their business organizations to comply with requirements of corporate governance. Jeswald (2002) defines corporate governance as the relationship existing amongst the management, Board of Directors, shareholders, and other stakeholders that revolves around exercising authority, direction, as well as control in an economy or organization.

From the perception of Clark, Wójcik and Bauer (2005), it is true that there is need for economies and organizations to rethink on how to direct, control, and exercise authority in a bid to enhancing sanity within their environs. According to Veasey (2005), every stakeholder has a right to ensure corporate governance compliance within nations or organizations. Indeed, with current happenings in the business environment there is a need to rethink corporate governance. 2. Research questionsWhilst focusing on rethinking corporate governance various questions of concern arise.

First, what as been the impact of ineffective corporate governance on economies and business organizations within the contemporary business environment? Second, what is the relationship between corporate governance and performance within business organizations and economies? Third, what practices result to ineffective corporate governance within the business contemporary? Fourth, what are the practices that organizations and nations should engage in with a view of enhancing effective and efficient corporate governance?

Fifth, how will rethinking corporate governance influence the performance of business organizations and nations especially given the turbulences and dynamisms within current business environment?3. Data required to answer any one questionI propose to majorly dwell on the third questions. Identifying some of the practices that have caused ineffectiveness and inefficiency in corporate governance will be a foundation to understanding how individuals, institutions, organizations, and nations can rethink and restructure their corporate governance.

In order to attain this, I will have to collect data on various nations and organizations that have failed in corporate governance while comparing the same with those that have benefitted greatly from their effective corporate governance. 4. Proposed methodologyI incorporate literature reviews that discuss at length the concept of corporate governance. From the various secondary data obtainable from reviewed literature, I will be able to analyze, make inference, and carry out a discussion in respect to rethinking and restructuring corporate governance within nations and business organizations.

Cases studies therefore will suffice a great deal in creating further understanding on the corporate governance concept. Consequently, I will apply both qualitative and quantitative research designs as used by former researchers to provide an in-depth discussion on corporate governance. HLFC (1999) Report on Corporate Governance will form a good source for data on corporate governance. It is important to note that topics of corporate governance have been researcher continuously but there is need to rethink of the same hence the motivation to adopt case studies as well as secondary data from reviewed literature.

References1. Barca, F. & Becht, M. (2001). The Control of Corporate Europe Oxford: Oxford University Press.2. Clark, G. L., Wójcik, D. and Bauer, R. (2005) “Corporate Governance, Cross-Listing and Managerial Response to Stock Price Discounting: Royal Ahold and Market Arbitrage – Amsterdam and New York, 1973-2004”, Economic Geography Working Papers, Working Paper No. 05-07. School of Geography, Centre for the Environment, University of Oxford. 3. High Level Finance Committee on Corporate Governance (HLFC) (1999) Report on Corporate Governance, [Online], February 1999.

Accessed on March 2, 2012 from http://sc.com.my/html/publications/inhouse/cgreport/cg_toc.html 4. Jeswald W. (2002). “Corporate Governance, Culture and Convergence: Corporations American Style or With a European Touch?” Law and Business Review of the Americas. 5. Veasey, N. (2005). “The Emergence of Corporate Governance as a New Legal Discipline,” The Business Lawyer 48, 1276.