Essay: Purpose of the study of corporate governance

Sample Essay

The main driving force behind this study is to understand the applicability of corporate governance problem in various business organizations whether public or privately owned in Saudi Arabia. This will help especially the several businesses facing transition from being family run to big corporate managed organizations because of expansion experienced in the past few years (OECD 1999, 2004) .

This paper will seek to get opinion from all the players in the industry pertaining to applicability of corporate governance and whether it is the right way to go for Saudi Companies.

Research Questions

When carrying out this research, there are various questions, which will form the guideline in my endeavor. I will need these questions to guide my study on how applicable corporate governance is to the Saudi Arabia situation and how the players in both the public and private sector will take this form of company administration.

a)      Is corporate governance possible in Saudi Arabia?

b)      What are the possible challenges to embracing corporate governance?

c)      How can the issue of principal – agent problem be solved if Saudi companies adopt corporate governance?

d)     Is there a ready legal framework to deal with issues of corporate governance in Saudi Arabia?

e)      What knowledge is in the public domain on corporate governance?

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