The importance and role of the corporate governance mechanism in increasing the level of management efficiency
There is inherent conflict of interests between owners and managers. They try to solve it in different ways. In this paper we have tried to briefly introduce the most important internal mechanisms of corporate governance (monitoring by the board of directors, incentive system for managers, internal...
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| Format: | Article |
| Language: | English |
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Visoka poslovna škola strukovnih studija, Novi Sad
2012-01-01
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| Series: | Škola Biznisa |
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| Online Access: | http://scindeks-clanci.ceon.rs/data/pdf/1451-6551/2012/1451-65511201051D.pdf |
| Summary: | There is inherent conflict of interests between owners and managers. They try to solve it in different ways. In this paper we have tried to briefly introduce the most important internal mechanisms of corporate governance (monitoring by the board of directors, incentive system for managers, internal audit and the importance of institutional investors). The financial scandals that included the world-famous corporations as well as current world economic crisis suggests that the protection of owners should continue to work to improve existing or new solutions that will improve the level of corporate governance. |
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| ISSN: | 1451-6551 2406-1301 |