CORPORATE GOVERNANCE MODEL OF A STATE-OWNED ENTERPRISE: EVIDENCE FROM AN ASIAN EMERGING MARKET

Purpose of the study- Corporate governance has attracted much attention and is still a hot topic among shareholders, directors and company regulators. Failure of large corporations in the past decades not only affected the shareholders and investors, rather it adversely affects all the stakeholders. Good corporate governance practices are argued to curb company’s failures due to fraudulent activities, collusion schemes and mismanagement. The purpose of this study is to examine a state-owned enterprise corporate governance model. There is still a gap in the corporate governance model literature especially in the context of an emerging Asian market. This study is embarked to fill the gap. Design/Methodology/Approach- The study took the qualitative approach. It utilized case study method. As it is a single case study, only one sample is chosen using the convenience or purposive sampling technique. Informal and semi-structured interviews are conducted with two representatives from the company. Data is also sourced from published documents related to the company. The company is designated as Company R as the study is not allowed to reveal the company’s real name. Findings- The study found that the corporate governance structure of the board is of unitary or one tier board. This is common in the Anglo American settings. The Board of Directors (BoD) is accountable to the shareholder. They are entrusted with the responsibilities to manage the business. The board member are selected and appointed by th