Corporate Governance varies around the World, largely due to different history and cultures.
In the UK and US, the model is aimed primarily at the rights of shareholders.
In Germany and much of continental Europe, and also in Japan,
In Japan, many major company structures were traditionally based around banks. Large groups of companies from many industries would all be financed, and part-owned by a major bank, which would create a strong financial alliance. Cross-shareholdings between companies were common, and in many cases the companies in the "group" would all supply each other.
In South America, Italy, Spain, and large parts of East Asia (e.g. Indonesia) the focus is more on banks play a more prominent role, often holding shares and having Board members. Such governance models tend to be more inclusive, ensuring that the rights of workers, customers and suppliers (and maybe the community) are represented at Board level. family ownership, with a large % of the biggest companies owned and controlled by a small number of the most powerful families in the country.
In the UK and US, the model is aimed primarily at the rights of shareholders.
In Germany and much of continental Europe, and also in Japan,
In Japan, many major company structures were traditionally based around banks. Large groups of companies from many industries would all be financed, and part-owned by a major bank, which would create a strong financial alliance. Cross-shareholdings between companies were common, and in many cases the companies in the "group" would all supply each other.
In South America, Italy, Spain, and large parts of East Asia (e.g. Indonesia) the focus is more on banks play a more prominent role, often holding shares and having Board members. Such governance models tend to be more inclusive, ensuring that the rights of workers, customers and suppliers (and maybe the community) are represented at Board level. family ownership, with a large % of the biggest companies owned and controlled by a small number of the most powerful families in the country.
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