We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Nobody downloaded yet

International Business - Essay Example

Comments (0) Cite this document
Name Institution Instructor Course Date Corporate governance reforms Summary of the Article In this paper, there is a brief summary of corporate governance reforms, challenges, and opportunities in China and India as emerging economies. First, there is a description of the main driving forces of corporate governance reforms namely, privatization, and globalization…
Download paper
International Business
Read TextPreview

Extract of sample
International Business

What can describe corporate governance is a structure of responsibilities and rights shared within parties who posses a stake in a company. According to the article, researchers direct too much of focus on corporate governance on developed countries leaving emerging economies like China and India with relatively too little focus on research (53). Due to their weak governance, firms in developed countries tend to discount firms in emerging economies. As such, it will be of paramount importance if policy makers could employ corporate governance reforms since they would in turn increase firms in emerging economies access to capital as well as enhance investors’ confidence in these firms. Given the perspective of most foreign investors that emerging economies of China and India are increasingly growing to be of great importance in terms of investment opportunities and source of growth, there should be availability of reforms set to revolutionize the systems of governance in firms in these economies (55). The four challenges include lack of incentives, power in the hands of dominant shareholders, and inadequate number of qualified independent directors deters growth in these emerging economies as well as underdeveloped systems of external monitoring. The main driving forces Arguably, even though there many other factors that are contributing to corporate governance reforms, it is clear that globalization and privatization take the biggest part. There are a number of effects that privatization has on corporate governance reforms. For instance, documented evidence shows that, since when emerging economies started privatizing state owned enterprises a few years ago, there emerged a huge volume of privatization cases ranging from $8 billion in 1990 to more that $65 billion in 1997 (57). In privatization, transfer of ownership is from the sate to new private owners in which it may include local individuals, management, employees, and institutions as well as foreign investors. Following this state of ownership, the new and diversified structure of ownership renders corporate governance a vital aspect in emerging economies. In the vein of privatization, however, challenges and obstacles occur when a few dominant executives resolve to foster their self-interests by maximizing on their private interests as opposed to owner’s interests. This creates the old or traditional agency problems that in turn make the emerging economies rigid in terms of exercise of authority (59). Additionally, the aspect of privatization led to creation of principle-to-principle agency problems that appear unique and different to emerging economies. As a result, within these indifferent contexts of agency, the majority or large number of shareholders end up controlling the firm and on the other side expropriate the interest of the minority shareholders in the firm. Both China and India became increasingly integrative into the international business at a time when they started reforming their economies with India embarking on liberalism in the wake of 1990s. Globalization led to great and tremendous contributions towards reforming corporate governance of both China and India. This is because, 2002 witnessed China replace the US as the world’ ... Read More
Cite this document
  • APA
  • MLA
(“International Business Essay Example | Topics and Well Written Essays - 750 words - 1”, n.d.)
Retrieved from https://studentshare.net/other/9756-international-business
(International Business Essay Example | Topics and Well Written Essays - 750 Words - 1)
“International Business Essay Example | Topics and Well Written Essays - 750 Words - 1”, n.d. https://studentshare.net/other/9756-international-business.
  • Cited: 0 times
Comments (0)
Click to create a comment
International Business
International business allows companies to expand their achieve accelerated economic growth. An American company that turned its focus into international business to achieve rapid growth after a 15 year based on an organic
3 Pages(750 words)Essay
International Business
This means that companies to remain competitive will have to continuously examine the way they do business in countries other than their own and must be prepared to react swiftly to changing global trends. Understanding business environment of various countries is becoming increasingly important with globalisation.
7 Pages(1750 words)Essay
International Business
esponse to the rising number as well as scope of multinational companies, numerous studies have already been conducted pertinent to the cross-cultural and national differences of the multinational organizations. Aside from this, the organization’s role and well as the values
6 Pages(1500 words)Essay
International Business
Therefore, it is quite important to understand the basics of labor forces and how it affects the international business. Labor
3 Pages(750 words)Essay
International Business
Being the economic hub of the world, US own the major portion of the total investment in global capital market. To illustrate, recent innovations in information technology and communication eradicated the geographical
2 Pages(500 words)Essay
International Business
There seems to be an agreement that Asia’s growing middle class, as a result of the region’s ‘rise’, will produce major prospects for Australia, specifically in economic, tourism, education, and
2 Pages(500 words)Essay
International business
f managers, politicians, and individuals within the international economic system exhibit different roles based upon which of these two items is being defined and/or discussed. As a means to understand these key differentiations that exist between the two terms, the proceeding
2 Pages(500 words)Essay
International business
Union which failed to enact this legislation faced massive corruption cases which affected their international business relationships with other countries. In the early 2000’s Germany was also affected with such cases of bribery. It was concluded that corruption was holding
1 Pages(250 words)Essay
Based on your experience of the essay for Part 1 of the assignment, how helpful have you found international business theory in developing your understanding of International Business
This essay will take this further and use theoretical reasoning perspective and relate it to how it has developed my personal understanding of the real business world. Basically, in political economy, but also in a business setting, the theory of
4 Pages(1000 words)Essay
International business
Sierra Leone, a country based in West Africa, has a peculiar living style guided by its demographics that include an official population of 6, 190,280. For instance, because of the hybridity of its western and African styles, the
2 Pages(500 words)Essay
Let us find you another Essay on topic International Business for FREE!
Contact us:
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us