African American Entrepreneurs

CHAPTER 4

Corporate Governance Drivers and Sources

Introduction

There are many drivers of corporate governance including laws, regulations, listing standards and best practices. These corporate governance drivers, particularly regulations are aimed at protecting the investors. The history of regulation in the United States appears to follow the pattern of lax regulation (early twentieth century) followed by corporate and accounting scandals (the stock market crash of 1929), responded to with more regulation (Securities Acts of 1933, 1934), relaxed or compromised regulation (the end of the twentieth century), yet another wave of financial scandals (the late 1990s and early 2000s), and then the resulting additional regulation. The intent of regulation ...