Why do corporations accept voluntary codes on corporate governance and why is the acceptance so rapid among the corporations? A theoretical explanation

Authors

Walter Gunathilake
anil Chandrakumara, University of WollongongFollow

RIS ID

34837

Publication Details

Gunathilake, W. & Chandrakumara, P. (2010). Why do corporations accept voluntary codes on corporate governance and why is the acceptance so rapid among the corporations? A theoretical explanation. British Academy of Management (pp. 1-25). Sheffield: University of Sheffield.

Link to publisher version (URL)

British Academy of Management Conference

Abstract

Implementation of principles of the Codes on Corporate Governance (CCG) is aimed at minimizing agency conflicts and corporate governance problems in the listed firms but we see them emerging over and over again despite the rapid implementation of CCG by listed firms, motivate us to develop this theoretical framework to understand why do the firms accept the voluntary principles and what type of behaviours could be expected among and between the top management personnel.