Corporate Greed

When corporate governance becomes necessary as an organization begins to mature, the matter of trust is an important part of the process of its composition. Shareholders and owners, all entities of seniority, together, are always asking themselves, “How do I get a return on my investment without someone stealing all of the profits?” What businesses have learned is that someone’s word is not as valuable as their signature and laws have been put in place to uncover and prevent lies. Therefore, it is important to view the scope of human nature’s constant issue of greed in this analysis and temptation as corporate board structure is scrutinized. These are characteristics that have no place in corporate governance. In fact, the board of directors is put in place so that such things would not happen. Unfortunately, deviant character has entered into the boardroom on too many occasions, leaving shareholders empty-handed. The purpose of this principle is to prevent the possibility of thievery and betrayal. While …show more content…
Subject matter experts agree that the corporate board structure is identified as a board of directors who, alongside a management team of executives, govern a corporation, compliant to the policies and procedures that are required for a corporation’s success. Because of failed boards and corporations such as, Enron and WorldCom, as some researchers point out, making a distinction of the roles in corporate governance is paramount. As mentioned previously in the introduction of this manuscript, most structures are made up of two-tier boards (Investopedia Staff). In order to further expound on corporate governance of this fashion, each entity of corporate board structure, as it pertains to US standards (as corporate board structure is slightly deviating in other countries), are classified