As globalization grows, adequate corporate governance is becoming an important requirement for doing business with a foreign firm.

Question

Quizplus · Accepted Answer

With the increasing interconnectivity and interdependence of markets and businesses worldwide, corporations need to adopt effective corporate governance practices to build trust, safeguard their reputation, and comply with international standards and regulations. Failure to implement adequate corporate governance measures can result in legal, financial, and reputational risks, which can limit market access and business opportunities with foreign firms. Therefore, many countries and organizations require firms to follow good corporate governance practices to participate in global trade and investment.

As Globalization Grows, Adequate Corporate Governance Is Becoming an Important