International Financial Strategies Essay Example | Topics and Well Written Essays - 3000 words

International Financial Strategies - Essay ExampleThe paper tells that the concept of corporate organisation has undergone severe changes since its origin. Management always pays attention to update their corporate governance strategy in accordance with the needs of the time. The corporate governance policy also maintains the family relationship between the stake wielders and the objectives of the organization. Top level managers always focus on the impact of their corporate governance strategy on economic efficiency in assenting to a strong emphasis on sh atomic number 18holder values. Since a series of corporate failures in 2001 were attributed to accounting fraud, today organizations focus on internal apprehend policies while formulating their corporate governance strategy. Likewise, corporate scandals of various forms during the last decade attainted public and political interest, which greatly contributed to the strict regulation of corporate governance. However, it seems t hat corporate governance principles always give emphasis to the rights and privileges of shareholders. In addition, the principles of corporate governance clearly point out the role and responsibilities of the notice, firms integrity and ethical behavior, and concerns of apocalypse and transparency. The main point of difference in corporate difference between the United Kingdom and the United States is that in the UK, the CEO generally does not hold the chairmanship of the board whereas, in the US, the CEO also serves as the Chairman of Board. Corporate governance in the UK In the opinion of Roberts (2011), the balance of power between the board of directors and the general meeting primarily constitutes corporate governance of a UK company. Generally, the term governance is used to refer to principles mentioned in the UK Corporate Governance Code. As cited in Harbottle and Lewis (2010), the UK Corporate Governance Code 2010 is a set of corporate governance principles which aim the improved performance of the listed companies on the London Stock Exchange. Financial improvement Authoritys Listing Rules demand the public listed companies disclose how they have abided by the proposed code and explain where and why they have ignored the rule. Private companies are also encouraged to follow these corporate governance guidelines even though it is not a compulsory requirement in private firm accounts.