Theoretical framework of corporate governance.

Corporate governance practices constantly evolve to meet changing conditions. As a work-in-progress, there is no single universal model of corporate governance. Also, something worth noting is that the structure in corporate governance varies from corporation to corporation. Therefore, experimentation and variety should be expected and encouraged. In addition, corporate governance tends to vary as a function of ownership, business circumstance, competitive conditions, corporate life cycle and numerous other factors. (Millstein et al, 1998) It has been …

…Part of the purpose of a board committee is to bring a detachment to the matters to be dealt with. Since the board delegate considerable work conducted by the committee, the committee really is the board for particular issue. Another important aspect of these board committees is that director participants gain broader experience and deeper understanding of the company's business in a way not found elsewhere, which make the directors' contribution progressively more valuable. (Reid, 2003)