Thursday, October 28, 2010

Corporate governance System in Russia Influenced by USA, UK and other countries

Corporate governance is the set of processes, customs, policies, laws and institutions affecting the way a corporation is directed, administered or controlled. Corporate governance also includes the relationships among the many stakeholders involved and the goals for which the corporation is governed. The principal stakeholders are the shareholders, management and the board of directors. Other stakeholders include employees, suppliers, customers, banks and other lenders, regulators, the environment and the community at large.

Topic :
Corporate governance in Russia Relation to USA. Coporate Governance system in USA, and how/ why Russia wants This kind of government .

Russia, USA, other countries, foundation of OECD( Organisation for Economic Co-operation and Development ), Federal Securities Commission (FSC), Enron scandal

The US, with its highly developed corporate governance system, had to extensively revise its rules and regulations in 2002. While the Enron scandal provided the main impetus, other mounting problems had made it clear that the balance of power in many US corporations had shifted to management, often aided by supportive boards of directors. Russia’s new code of corporate conduct appears to have borrowed substantially from the US in specifying the standards for many areas of corporate governance. the US has been viewed as a world leader in effective corporate governance practices and transparency, with strong laws and tough enforcement, particularly by the Securities and Exchange Commission. In addition to such legal requirements and restrictions, individual stock exchanges including the New York Stock Exchange and Nasdaq have their own standards and requirements. In contrast, the listing rules of the German Neuer Markt do not mandate specific corporate governance structures or practices. Although the initial international influences on Russia’s corporate governance system came from international organizations and from the US, the system might well begin to show more signs of being influenced by other countries.
I think this topic is really cool, esp. learning about the Corporate governance
system in USA, and how Russia also want This kind of government .

*****I am still working with the other sites that I found, which was more helpful to me and more clear on my topic.*************

1 comment:

  1. Hi Saliha - Think about sources, even when you're doing an informal post like this: where does this definition come from, and how would you understand it in your own words?