This course evaluates the relationship between corporate governance and performance as measured by valuation, operating performance or stock returns. Most of the evidence to date suggests a positive association between corporate governance and various measures of performance. However, this line of research suffers from endogeneity problems that are difficult to resolve. There is no consensus yet on the nature of the endogeneity in governance-performance studies and this course proposes an approach to resolve it. The emerging conclusion is that corporate governance is likely to develop endogenously and depend on specific characteristics of the firm and its environment.
To make this course focused and manageable we limit the content:
- Overview of Corporate Governance
- Impact of governance on performance on quoted companies
- Performance of Board members of private, family-owned, or non-profit organizations
- Corporate governance as a broad index
- The role corporate governance plays in country-level economic development.
This program is ideal for:
- Current board members of public companies
- Board members of foreign corporations
- Board members of private, family-owned, or non-profit organizations, although the specific regulations of public companies may not apply to such institutions
- Executives looking to develop the skills needed to get on corporate and non-profit boards