EXCERPT FROM THE STUDY
Weak practices of corporate governance lead to poor financial performance and contribute to macroeconomic crises(Claessens et al.,2002). The corporate governance concept is fundamental in the achievement of economic growth and efficiency because top level management consider it as a device for the reduction of misconduct or mismanagement in the management of an organization(Gomper et al., 2003). When good corporate practices are observed, the agency costs incurred by a firm and in efficiencies experienced due to conflict of success surrounded by managers, stakeholders and owners are reduced head of the line to righteous competitive biggest slice of the cake of a partnership during other firms herewith firms are talented to fulfill their urban responsibilities in the communities anywhere they are based (OECD, 2004).
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