All corporate entities, whether they are profit making or non-profit making, need a governing body. In the case of company, this is its board of directors. The directors are responsible for setting the company’s direction, formulating strategy and policies. The board is also responsible for the company’s decisions and its performance.
Corporate governance covers the activities of the board of directors and its relationship with the shareholders, and those managing the companies, as well as the external auditors and regulators.
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