Corporate governance has evolved from its role in reducing agency costs to maximizing shareholder wealth and now to the emerging role of creating shareholder value and protecting the interests of all stakeholders. The twenty-first century is viewed as the era of corporate governance in transition from a compliance requirement to a business imperative. The corporate governance structure in different countries is also influenced by the country's cultural, political, and historical factors as well as the legal and regulatory environment. This chapter presents both historical and global perspectives of corporate governance.
The primary objectives of this chapter are to