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Does Corporate Governance Enhance Firm Performance?: An Empirical Literature Evidence

  • Florinita DUCA

    („Artifex” University of Bucharest)

This paper is a review of the empirical literature evidence on whether corporate governance actually enhances firm performance.The concept of corporate governance has attracted considerable attention, domestically and internationally, in recent years. Previous research, largely conducted using international data, has suggested that better governed firms outperform poorer governed firms in a number of key areas. Issues and Significance: It is widely believed that good corporate governance is an important factor in improving the value of a firm in both developing and developed financial markets. However, the relationship between corporate governance and the value of a firm differs in developing and developed financial markets due to disparate corporate governance structures in these markets resulting from the dissimilar social, economic and regulatory conditions in these countries.

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Article provided by Romanian Statistical Review in its journal Romanian Statistical Review Supplement.

Volume (Year): 60 (2012)
Issue (Month): 1 (March)
Pages: 53-56

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Handle: RePEc:rsr:supplm:v:60:y:2012:i:1:p:53-56
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  1. Wolfgang Drobetz & Andreas Schillhofer & Heinz Zimmermann, 2004. "Corporate Governance and Expected Stock Returns: Evidence from Germany," European Financial Management, European Financial Management Association, vol. 10(2), pages 267-293.
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