Briefly explain the concept of corporate governance.

Answered: Briefly explain the concept of…

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

See similar textbooks

Related questions

Question

Briefly explain the concept of corporate governance.

Expert Solution

Step 1: Define background related to organizations

Organizations consist of several employees who work together for the fulfillment of organizational goals. It is important to coordinate the efforts of various team members towards common direction. Accountability and responsibility play an integral role in organization. There should be transparency among the members and no important information should be hidden from the integral people of the organization also known as stakeholders. Openness and transparency builds up the reputation of the organization and there is more uniformity and consistency in the practices because of openness.