We use cookies to give you the best experience possible. By continuing we’ll assume you’re on board with our cookie policy

Why corporate governance fails Essay

Sorry, but copying text is forbidden on this website!

In my opinion corporate governance fails because of bad decisions made by the CEO’s, Board of Directors, Shareholders, and Top Management. “One of the many problems that defenders of America’s free market system fail to address is the severe dysfunction at the top of the nation’s big public companies. Cases in point include some of the biggest bankruptcies of the last decade: Lehman Brothers, General Motors, WorldCom, Enron and many more” (Cohan, 2009). Our text states that “good corporate governance means better strategic management” (Wheelen&Hunger, 2012 pg.

63) which means that corporate governance fails because of poor strategic management. “The systemic failure of corporate governance is particularly associated with the Anglo-American corporate governance model that has enabled, permitted or tolerated excess power and wealth at the hands of CEOs and cultivated a ‘greed-is-good’ culture in banks (Sun, Stewart & Pollard, 2012).” Cohan, P. (2009, December 28).

Daily finance. Retrieved from http://www.dailyfinance.com/2009/12/28/why-american-corporate-governance-is-a-bust/ Wheelen, Thomas L., and J. David Hunger.

Strategic Management and Business Policy: Toward Global Sustainability. Upper Saddle River, NJ: Pearson Prentice Hall, 2012. 45. Print Sun, W., Stewart, J., & Pollard, D. (2012, February 15). Retrieved from http://www.europeanfinancialreview.com/?p=4690 b. List some of the “indulgences” other than golden parachutes and poison pills (which are given to managers by the BOD) some managers have given to themselves. After reading an article on Crickey.com I found that managers give themselves high salaries, benefits, vacations, and parties.

“Looks like a whizz-bang machine dispensing beverages made from Brazilian coffee beans has been introduced to GTV9’s newsroom in a bid to boost staff morale as ratings continue to disappoint”(Tips& Rumors,2010). In my opinion these perks are ridiculous one article stated that “Martha Stewart Living Omnimedia spent $73,230 on a weekend driver for its eponymous founder. It also paid for her personal trainer, “provided in her capacity as on-air talent” (Rexrode, 2012). Don’t people ever think of the less fortunate, homeless, or jobless; the more I read the article the more upset I got. Web log message]. (2010, October 21). Retrieved from http://www.crikey.com.au/2010/10/21/tips-and-rumours-337/ Rexrode, C. (2012,

How to cite this page

Choose cite format:

Why corporate governance fails. (2016, Nov 08). Retrieved from https://studymoose.com/why-corporate-governance-fails-essay

We will write a custom sample essay onWhy corporate governance failsspecifically for you

for only $16.38 $13.90/page
Order now

Our customer support team is available Monday-Friday 9am-5pm EST. If you contact us after hours, we'll get back to you in 24 hours or less.

By clicking "Send Message", you agree to our terms of service and privacy policy. We'll occasionally send you account related and promo emails.
No results found for “ image
Try Our service

Hi, I am Sara from Studymoose

Hi there, would you like to get such a paper? How about receiving a customized one? Click to learn more https://goo.gl/CYf83b


Hi, I am Sara from Studymoose

Hi there, would you like to get such a paper? How about receiving a customized one? Click to learn more https://goo.gl/CYf83b


Your Answer is very helpful for Us
Thank you a lot!