Why Has Improved Corporate Governance Become an Increasingly Important Topic in Recent Years?

Corporate governance has evolved into an important institute within recent years because of the highly visible corrupt and unethical practices of large and global companies such as Enron, WorldCom and Parmalat, the Italian dairy conglomerate. These scandals had left stakeholders and governments in a disorientated state.
It has always attracted attention due to its apparent importance for the economic health of corporations and society in general. The concept is poorly defined as it potentially covers a large number of distinct economic phenomenons. …