Topic > Corporate Governance Case Study - 1243

These specifically in three areas: First, a good corporate governance structure fosters growth in the company's performance. Only business development and corporate performance can increase accordingly, and good corporate governance is the prerequisite for a healthy and competitive company. Second, a good corporate governance structure could reduce the company's operating costs and improve the company's performance. Companies that operate more efficiently, reduce internal coordination and supervision costs make the total cost of the company as minimized as possible. Third, a good corporate governance structure is conducive to attracting long-term stability of external capital, to stimulate the company's continued growth. According to the McKinsey report (2002), three-quarters of investors say that corporate governance is as important as the company's financial indicators when choosing investments. Corporate governance is undoubtedly a very important role in the improvement of the company