Question

There has always been a perennial imbalance between the Commercial objectives of the modern-day Corporation and obedience to the law. This tension is fraught with ethical and legal obstacles. Corporate Governance has, through the organs of the Corporations Act 2001 (Cth) sought to address the primary obligations of those who are responsible for the management of Companies

Answer 1

Corporate governance is approach by which companies are provided direction and are controlled. Boards of directors are obliged and responsible for governance. The shareholders’ role is appointment of directors and auditors and making sure that a proper governance system is set up. The board responsibilities includes framing the company's vision, aims, providing leadership, directing team, supervising team and providing information to shareholders about their future growth and opportunities.

Corporate governance describes regarding the work board does, it's methadology to set up the value of company. It is not same as everyday operational management by full-time executives in the company.