Corporate Governance Model

Corporate governance is currently a universal topic because of globalization of organizations. It is acknowledged to take up a significant role in the management of organisations in both developed and developing nations. Developing countries differ from developing countries in a wide variety of ways. In this manner, there is need for developing nations to build up their own corporate governance models that consider the social, political and mechanical conditions found in every nation (Mulili and Wong, 2011). As accentuated by the Australian Standard (2003), the corporate governance is considered as the procedure, by which organizations are coordinated, controlled and held responsible. This infers corporate governance encompasses the authority,

Financiers are keen on understanding what organizations ought to do to maximize shareholder value. Currently, there is widespread evidence that good corporate governance is linked to greater firm performance. As stated by Weiying and Baofend (2007), well governed corporations have been noted to have higher firm value. Dincer and Dincer (2013) additionally take note that there is boundless proof that good corporate governance is associated with greater firm performance. In a manner of speaking, firm level differences in corporate governance have significant influence on firm value and that higher price performance is linked to higher disclosure quality, focused firms, and higher outside ownership concentration. Further, the authors take note that failures of various well known organizations made it to clear that organizations ought to undergo further modifications to secure their investor's interests, to escalate the firm's transparency and to ensure investor's reliance on the directors' management (Weiying and Baofend, 2007). Evidently, there appears to be a large consensus among both professionals and academics to demand from public firms more efforts to enhance their corporate governance practices. As of now, developed economies, for instance, Holland, France, Australia, Germany, Belgium, Canada, United

A modern financial structure contributes to economic advancement and the enriched living standards through providing diverse financial services to the entire economy (Chase and Bollard, 2011). The term firm value is employed to allude to a subjective measure of how well a firm can utilize assets to generate income from its primary approach of business. Similarly it can be used to refer to the company's overall financial health over a given timeframe and can be utilized to compare firms operating in similar industries or to compare sectors in aggregation. Various proxies are used to evaluate and measure firm value. They include solvency, return on equity, sales growth, investment opportunities, dividend decisions, total debts, and profitability. These measures can be extricated from a company’s financial