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Corporate Strategy and Governance: PDF

   

Added on  2020-11-12

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Corporate strategy and governance
Corporate Strategy and Governance: PDF_1

Table of ContentsINTRODUCTION...........................................................................................................................1Literature review..............................................................................................................................1Research question............................................................................................................................2Research methodology.....................................................................................................................2Access and ethics.............................................................................................................................3REFERENCES................................................................................................................................4
Corporate Strategy and Governance: PDF_2

Title – to evaluate dependence of company profits on corporate governance. A case study onautomobile sector INTRODUCTIONCorporate governance is a concept that is followed by business in order to remainsustainable in industry for long term (Su and Sauerwald, 2018). It consists of rules andregulations, process, etc. that are followed by business. this helps in maintaining balancebetween interest of shareholders and activities of company. Usually, a firm is directed andcontrolled by stakeholders. They are responsible for doing business in transparent way.Purpose – this research is conducted in auto mobile to identify how profitability of firm isaffected due to change in corporate governance. it will help in determining factors that enablecompanies to work in interest of stakeholders.In automobile sector there is major are many issues related to corporate governance thatarises. It has created a great impact on profitability of company. Also, many companies areinvolved in controversies and legal cases. Volkswagen is an MNC that is operating in many countries (Too and Weaver, 2014). thecompany has also faced critical issues. They are been involved in scandals that has led to declinein sales and profits. This has occurred due to ineffective implementation of corporategovernance. Literature review In such as changing business environment it is very important to companies to follow aneffective corporate governance strategy. this is because it will be beneficial in sustaining inmarket for long term. According to Davies, 2016, change in environment forces business towork in interest of stakeholders. It enabled them to earn huge profits. The profitability is entirelydependent on corporate governance (Chu, Teng and Lee, 2016). It reflects values, rules andregulation on that company follows in their operations. a rigid structure will enable in generatinghigher profits.major profits are earned through shareholders. It is because they represent company in society. In view of Barkemeyer, Preuss and Lee, 2015, practices followed includes protectingatmosphere, using renewable resources, etc. this creates a positive impact on performance ofbusiness and outside it. due to this they are able to provide new products and high qualityservices to customers. 1
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