CORPORATE GOVERNANCE, OWNERSHIP AND FIRM PERFORMANCE: A REVIEW OF IMPACT OF FINANCIAL GLOBALIZATION

Corporate governance is a natural consequence of globalization, which has led to financial globalization and globalization of municipal laws. Major changes have taken place in codification of rules regarding composition of board of directors and their duties. Disclosure norms both in final account statements and shareholding pattern have now become far more stringent in last two decades Foreign investments gradually led to adoption of corporate governance norms across the world. Relationship of firm valuation with enhanced corporate governance norms & foreign investment has been established in various studies; however relationship between corporate governance and firm performance has not been confirmed.