IDEAS home Printed from
   My bibliography  Save this article

Compliance With Modern Legislations Of Corporate Governance And Its Implementation In Companies


  • Zdravko Todorovic
  • Igor Todorovic


Corporate governance is a key element for improvement of investors' confidence, increase of competitiveness and improvement of economic growth. Corporate governance is on the top of agenda for international development as stated by James Wolfensohn (1998) that "the governance of the corporation is now as important in the world economy as the government of countries". Modern legislations of corporate governance is based on vast experiences from good practices and corporate scandals from many countries and presents standards for governance of companies accepted by investors, governments, companies and other stakeholders. Compliance with modern legislations of corporate governance is important for every company and government in order to grow, develop, attract investors, lower risks and avoid corporate scandals and lawsuits. In the paper it will be discussed about the compliance of legislations of the Republic of Srpska with modern legislations of corporate governance. Moreover, the paper will analyze implementation of corporate governance principles and legislations in companies in the Republic of Srpska. The results of implementation of the principles of corporate governance in companies in the Republic of Srpska will be presented using the Scorecard analysis for evaluation of the implementation of (good) practices and principles of corporate governance in companies which are listed on the Official market of the Banja Luka Stock Exchange.

Suggested Citation

  • Zdravko Todorovic & Igor Todorovic, 2012. "Compliance With Modern Legislations Of Corporate Governance And Its Implementation In Companies," Montenegrin Journal of Economics, Economic Laboratory for Transition Research (ELIT), vol. 8(2), pages 309-318.
  • Handle: RePEc:mje:mjejnl:v:8:y:2012:i:2:p:309-318

    Download full text from publisher

    File URL:
    Download Restriction: no

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. La Porta, Rafael & Florencio Lopez-de-Silanes & Andrei Shleifer & Robert W. Vishny, 1997. " Legal Determinants of External Finance," Journal of Finance, American Finance Association, vol. 52(3), pages 1131-1150, July.
    2. Brennan, Michael J & Cao, H Henry, 1997. " International Portfolio Investment Flows," Journal of Finance, American Finance Association, vol. 52(5), pages 1851-1880, December.
    3. Christian Leuz & Karl V. Lins & Francis E. Warnock, 2010. "Do Foreigners Invest Less in Poorly Governed Firms?," Review of Financial Studies, Society for Financial Studies, vol. 23(3), pages 3245-3285, March.
    4. Merton, Robert C, 1987. " A Simple Model of Capital Market Equilibrium with Incomplete Information," Journal of Finance, American Finance Association, vol. 42(3), pages 483-510, July.
    5. Kang, Jun-Koo & Stulz, Rene M., 1997. "Why is there a home bias? An analysis of foreign portfolio equity ownership in Japan," Journal of Financial Economics, Elsevier, vol. 46(1), pages 3-28, October.
    6. repec:hrv:faseco:30728041 is not listed on IDEAS
    7. Easterbrook, Frank H & Fischel, Daniel R, 1983. "Voting in Corporate Law," Journal of Law and Economics, University of Chicago Press, vol. 26(2), pages 395-427, June.
    Full references (including those not matched with items on IDEAS)

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mje:mjejnl:v:8:y:2012:i:2:p:309-318. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Nikola Draskovic Jelcic). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.