Comparative Analysis Regarding The Principles Contained In The Corporate Governance Code In Romania And Other Codes Of Emerging Markets (original) (raw)
Related papers
Annals of Faculty of Economics, 2008
Result of the theoretical researches on the issues related to possible different interests of shareholders and executive managers, OECD issued in 1999 The Principles of Corporate. In Romania, there were identified some problems, related to: weak institutional framework, necessity of urgent implementation and enforcement of the already existing laws, the lead that private sector should take in developing implementation tools and promoting public debate on corporate governance issues, protection of minority shareholders rights. In the late years, Romanian authorities achieved a process of revising legislation related to companies' governance. This new regulation will benefit to all parts involved, such as major investors, minority shareholders and companiest; finally, the whole society will benefit from a cleaner and more performing economic environment.
Corporate Governance Practices' Implementation in Romania - Achievements, Deficiencies, Action Items
2009
This paper aims at highlighting the institutional and legislative progress made in Romania during the last years concerning corporate governance issues, the deterring factors of this process and at proposing action items for improving the corporations' administration practices. Our paper shows that the improvement of the corporate governance standards in Romania is crucial, considering the integration into the European Union. At this moment, Romania does not have a National Corporate Governance Code, but two important initiatives in this respect should be mentioned. First of all, the project ran by the Strategic Alliance of Business Associations, sponsored by the International Centre for Entrepreneurship in Romania. Its concrete outcome was the Voluntary Corporate Governance Code (2002), a collection of the best recommended practices. The initiative was very well received at the respective moment by the business environment, but there is absolutely no information indicating the number of companies who have adopted the code and observe its provisions (i.e. who have introduced its provisions into their Memorandum of Association). Electronic copy available at: http://ssrn.com/abstract=1348194
Corporate Governance Framework in Romanian Companies
Procedia Economics and Finance, 2015
The Romanian legal framework for private companies started more than 20 years ago an effervescent process of renewal, as a result of ending the communist period and changing the general prospective towards the European Union. This process asked for a totally different legal basis for the activity of companies. The legal basis is since quit instable, as it quickly changes according to the demands both on the domestic and European level. Until now, the legal framework for corporate governance in Romania developed in three steps. In 1990 the first modern companies legal framework was adopted. It regulated five types of companies, each with its own particularities in ownership and management. After the official intention to join the European Union (2007), the legal framework supported some adjustments, in order to align to the communities system of law. The corporate governance also registered some positive but also negative influences. In the third phase, as a result of social environment pressure, the legal framework changed dramatically in 2011, when a new Civil Code came into force. The paper presents a theoretical approach on this process, pointing out the progress that has been done and also the aspects that still need to be improved based on some empirical evidences.
Elements of Corporate Governance Implementation in Romania, in the European Context
2016
Within the European Union, the economic crisis has hastened the awareness that an economy can grow through a unitary and coordinated action, both in legislation and in terms of recommendations and voluntary taking, all these being integrated in the concept of European economic governance, built according to the model of global governance. In Romania, the distribution of the Code of Corporate Governance is carried out by the Bucharest Stock Exchange, which provides information on the companies that have accepted to implement the code and which also monitors their implementation of the code. Complying with some principles of good corporate governance is in the interest of the economic organizations, enabling them to better manage their business and risks and to achieve the desired goals.
Corporate Governance Mechanism Practiced by Romanian Entities
Proceedings of the International Management Conference, 2022
Corporate governance defines all the principles, rules and norms that ensure the administration and management by managers of entities, in the interest of current and potential investors; this interest is classic and the most common. In its context, managers are studied in relation to shareholders. Being a political report, in which there are other stakeholders, the governance acquires an extended interest. A distinct place is occupied in the case of managers and shareholders, creditors and employees, with their claims. Corporate governance has an important role to play in protecting shareholders 'interests as it supports maximizing the value of long-term ownership of the company, and in stimulating investors' attention to the company by making the company's activities and processes transparent and efficient as investors need accurate and quality information. The purpose of the research: to determine the way in which the managers of several entities in Romania perceive t...
Corporate Governance in Emerging Economies: The Case of Romania
Theoretical and …, 2011
In Romania corporate governance has emerged beginning with the early 2000s. The delay is explainable by the difficult steps taken on the line of political, legal, economic and social reform. In recent years, however, the corporate governance environment in Romania has changed. Transparency and accountability have become key factors not only for shareholders, but also for investors, buyers, suppliers, and other stakeholders. In this context, it is worth to consider, based on statistical data, the degree of development of corporate governance in Romania. The selected indicators are linked to attributes of the Board of directors, in particular Board structure, size, independence, frequency of meetings, and other factors. The sources used are based on the official data published by companies listed on the Bucharest Stock Exchange (BSE). The results will be compared with results of other case studies of emerging countries and the European best practice.
Corporate Governance in Romania: The State of the Art and Recent Developments
The companies' sector in Romania experienced a positive development after 1990, especially concerning their number, as a result of private initiative and privatizations. The prevalence of SMEs in the companies' sector is obvious, and their number increased 3.4 times after 1992, to a amount of 431,135 at the end of 2005. The banking system reform was started in 1990 with the creation of a two-tier bank system. The drastic structural changes that took place between 1998 and 2000 reflected two major events: the crisis and eventual collapse of several state-owned and private banks and the privatisation drive, both resulting in a cleaner and more solid banking system. In 1996, the mass privatization program contributed at the appearance of a large number of individual shareholders to all state companies and consequently was achieved the settlement of a over the counter market called. Result of the theoretical researches on the issues related to possible different interests of sha...
Need to implement corporate governance in the Romanian companies
Theoretical and Applied Economics, 2013
Under the background of the current economic realities, characterized by uncertainty and mistrust, of increased complexity of the environment in which they operate, the Romanian companies must demonstrate good organization, flexibility, skills, good risk management and be trustworthy economic and social partners. The answer to many of these challenges is provided by a modern management system, which makes proof of more convincing development possibilities, namely corporate governance. This article is an attempt to summarize the major theoretical and practical issues related to corporate governance models, as well as a vision of the need to apply this management system in the Romanian companies. At the same time, the paper will briefly present the current state of corporate governance system implementation in the Romanian companies.