The governance system that a company adopts is not independent of its environment. Instead, it is shaped by a variety of factors inherent to the business setting. This Quick Guide explains the factors that shape governance systems around the world. It also provides an overview of governance systems in selected countries. It answers the questions:
- Why do governance systems vary?
- How important are capital markets?
- What is the impact of legal tradition?
- Why do accounting standards matter?
- How do societal values shape governance?