Open AccessCORPORATE GOVERNANCE PRACTICES AND ITS EFFECT ON CORPORATE FINANCIAL PERFORMANCE: A PRAGMATIC EVIDENCE FROM MALAYSIA
Author(s) -
Muhammad Tahir Khan,
Haseeb Ur Rehman,
Arsalan Arsalan Hashmi
Publication year - 2020
Publication title -
pakistan journal of humanities and social sciences research
Language(s) - English
Resource type - Journals
eISSN - 2663-922X
pISSN - 2663-9211
DOI - 10.37605/pjhssr.3.1.14
Subject(s) - corporate governance , accounting , business , extant taxon , misconduct , mechanism (biology) , corporate security , project governance , finance , political science , law , philosophy , epistemology , evolutionary biology , biology
Current corporate governance failure and financial scandals are the reason for the governance mechanism due to ignoring the adoption of governance mechanisms in corporate practices. The main objective of the paper is to investigate the association between governance mechanism corporate performances based on extant literature and to put a light on the current governance mechanism in the Malaysian firms. This paper emphasizes the compliance of governance mechanism and the role of MCCG in improving the performance of corporate firms. This paper highlights the issues, current corporate scandals, and failure of corporate governance mechanisms in the first and second decades of the 21st century. Various scandals and misconduct are discussed to report the problems allied to corporate governance. This paper addresses the various corporate governance theories, models, and good governance structure. The internal and external governance mechanisms have been discussed in detail to put a light on its influence on corporate performance