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Corporate Governance Matters

Paperback Engels 2000 9780136660026
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Samenvatting

Corporate Governance Matters, 3rd Edition gives corporate board members, officers, directors, and other stakeholders all the knowledge they need to implement and sustain superior governance in today’s challenging business environments. Authored by two leading experts, it fully addresses every component of governance, reflecting the latest trends and statistics. Updated throughout, it carefully synthesises current academic and professional research, summarising what is known, what is unknown, and where the evidence remains inconclusive.

Coverage includes: international corporate governance; equity ownership; incentives; labor markets for CEOs; board structures; linkages to organisational strategy and business models; risk management, succession planning, financial reporting and external audit; governance ratings; and alternative corporate governance structures, including family-controlled businesses, nonprofits, private equity, and venture capital. This edition includes expanded coverage of many core and emerging issues, including: Environmental, Social, and Governance (ESG) Board effectiveness CEO succession CEO compensation Cybersecurity and risk Shareholder activism, and more

Specificaties

ISBN13:9780136660026
Taal:Engels
Bindwijze:Paperback

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Inhoudsopgave

Preface&nbsp;&nbsp;&nbsp;&nbsp; xviii <br> <br> Chapter 1&nbsp; Introduction to Corporate Governance&nbsp;&nbsp;&nbsp;&nbsp; 1 <br> <br>Self-Interested Executives&nbsp;&nbsp;&nbsp; 4 <br> <br>Defining Corporate Governance&nbsp;&nbsp;&nbsp;&nbsp; 8 <br> <br>Corporate Governance Standards&nbsp;&nbsp;&nbsp;&nbsp; 9 <br> <br>Best Practice or Best Practices? Does “One Size Fit All”?&nbsp;&nbsp;&nbsp;&nbsp; 12 <br> <br>Relationship between Corporate Governance and Firm Performance&nbsp;&nbsp;&nbsp;&nbsp; 13 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 15 <br> <br> Chapter 2&nbsp; International Corporate Governance&nbsp;&nbsp;&nbsp;&nbsp; 19 <br> <br>Capital Market Efficiency&nbsp;&nbsp;&nbsp;&nbsp; 19 <br> <br>Legal Tradition&nbsp;&nbsp;&nbsp;&nbsp; 22 <br> <br>Accounting Standards&nbsp;&nbsp;&nbsp;&nbsp; 23 <br> <br>Enforcement of Regulations&nbsp;&nbsp;&nbsp;&nbsp; 25 <br> <br>Societal and Cultural Values&nbsp;&nbsp;&nbsp;&nbsp; 26 <br> <br>Individual National Governance Structures&nbsp;&nbsp;&nbsp;&nbsp; 28 <br> <br>&nbsp;&nbsp;&nbsp; United States&nbsp;&nbsp;&nbsp;&nbsp; 29 <br> <br>&nbsp;&nbsp;&nbsp; United Kingdom&nbsp;&nbsp;&nbsp;&nbsp; 31 <br> <br>&nbsp;&nbsp;&nbsp; Germany&nbsp;&nbsp;&nbsp;&nbsp; 35 <br> <br>&nbsp;&nbsp;&nbsp; Japan&nbsp;&nbsp;&nbsp;&nbsp; 37 <br> <br>&nbsp;&nbsp;&nbsp; South Korea&nbsp;&nbsp;&nbsp; 40 <br> <br>&nbsp;&nbsp;&nbsp; China&nbsp;&nbsp;&nbsp; 41 <br> <br>&nbsp;&nbsp;&nbsp; India&nbsp;&nbsp;&nbsp; 43 <br> <br>&nbsp;&nbsp;&nbsp; Brazil&nbsp;&nbsp;&nbsp; 44 <br> <br>&nbsp;&nbsp;&nbsp; Russia&nbsp;&nbsp;&nbsp; 46 <br> <br>Endnotes&nbsp;&nbsp;&nbsp; 47 <br> <br>Interlude&nbsp;&nbsp;&nbsp;&nbsp; 53 <br> <br> Chapter 3&nbsp; Board of Directors: Duties and Liability&nbsp;&nbsp;&nbsp;&nbsp; 55 <br> <br>Board Responsibilities&nbsp;&nbsp;&nbsp;&nbsp; 55 <br> <br>Board Independence&nbsp;&nbsp;&nbsp;&nbsp; 56 <br> <br>The Operations of the Board&nbsp;&nbsp;&nbsp;&nbsp; 57 <br> <br>&nbsp;&nbsp;&nbsp; Board Committees&nbsp;&nbsp;&nbsp;&nbsp; 60 <br> <br>Duration of Director Terms&nbsp;&nbsp;&nbsp;&nbsp; 64 <br> <br>Director Elections&nbsp;&nbsp;&nbsp;&nbsp; 64 <br> <br>Removal of Directors&nbsp;&nbsp;&nbsp;&nbsp; 66 <br> <br>Legal Obligations of Directors&nbsp;&nbsp;&nbsp;&nbsp; 66 <br> <br>&nbsp;&nbsp;&nbsp; Fiduciary Duty&nbsp;&nbsp;&nbsp;&nbsp; 67 <br> <br>&nbsp;&nbsp;&nbsp; Environmental, Social, and Governance (ESG)&nbsp;&nbsp;&nbsp;&nbsp; 70 <br> <br>&nbsp;&nbsp;&nbsp; Disclosure Obligations under Securities Laws&nbsp;&nbsp;&nbsp;&nbsp; 71 <br> <br>&nbsp;&nbsp;&nbsp; Legal Enforcement of State Corporate Law (Fiduciary Duties)&nbsp;&nbsp;&nbsp;&nbsp; 72 <br> <br>&nbsp;&nbsp;&nbsp; Legal Enforcement of Federal Securities Laws&nbsp;&nbsp;&nbsp;&nbsp; 73 <br> <br>&nbsp;&nbsp;&nbsp; Director Indemnification and D&amp;O Insurance&nbsp;&nbsp;&nbsp;&nbsp; 73 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 75 <br> <br> Chapter 4&nbsp; Board of Directors: Selection, Compensation, and Removal&nbsp;&nbsp;&nbsp;&nbsp; 79 <br> <br>Market for Directors&nbsp;&nbsp;&nbsp;&nbsp; 79 <br> <br>&nbsp;&nbsp;&nbsp; Criteria for Director Recruitment&nbsp;&nbsp;&nbsp;&nbsp; 80 <br> <br>&nbsp;&nbsp;&nbsp; Active CEOs&nbsp;&nbsp;&nbsp;&nbsp; 81 <br> <br>&nbsp;&nbsp;&nbsp; International Experience&nbsp;&nbsp;&nbsp;&nbsp; 82 <br> <br>&nbsp;&nbsp;&nbsp; Special Expertise&nbsp;&nbsp;&nbsp;&nbsp; 82 <br> <br>&nbsp;&nbsp;&nbsp; Diverse Directors&nbsp;&nbsp;&nbsp;&nbsp; 84 <br> <br>&nbsp;&nbsp;&nbsp; Professional Directors&nbsp;&nbsp;&nbsp;&nbsp; 85 <br> <br>&nbsp;&nbsp;&nbsp; Disclosure Requirements for Director Qualifications&nbsp;&nbsp;&nbsp;&nbsp; 86 <br> <br>Director Recruitment Process&nbsp;&nbsp;&nbsp;&nbsp; 87 <br> <br>Director Compensation&nbsp;&nbsp;&nbsp;&nbsp; 90 <br> <br>&nbsp;&nbsp;&nbsp; Ownership Guidelines&nbsp;&nbsp;&nbsp;&nbsp; 95 <br> <br>&nbsp;&nbsp;&nbsp; Board Evaluation&nbsp;&nbsp;&nbsp;&nbsp; 96 <br> <br>Removal of Directors&nbsp;&nbsp;&nbsp;&nbsp; 98 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 102 <br> <br> Chapter 5&nbsp; Board of Directors: Structure and Consequences&nbsp;&nbsp;&nbsp;&nbsp; 109 <br> <br>Board Structure&nbsp;&nbsp;&nbsp;&nbsp; 110 <br> <br>&nbsp;&nbsp;&nbsp; Chairman of the Board&nbsp;&nbsp;&nbsp;&nbsp; 113 <br> <br>&nbsp;&nbsp;&nbsp; Lead Independent Director&nbsp;&nbsp;&nbsp;&nbsp; 116 <br> <br>&nbsp;&nbsp;&nbsp; Outside Directors&nbsp;&nbsp;&nbsp;&nbsp; 119 <br> <br>&nbsp;&nbsp;&nbsp; Board Independence&nbsp;&nbsp;&nbsp;&nbsp; 122 <br> <br>&nbsp;&nbsp;&nbsp; Independent Committees&nbsp;&nbsp;&nbsp;&nbsp; 125 <br> <br>&nbsp;&nbsp;&nbsp; Bankers on the Board&nbsp;&nbsp;&nbsp;&nbsp; 126 <br> <br>&nbsp;&nbsp;&nbsp; Financial Experts on Board&nbsp;&nbsp;&nbsp;&nbsp; 127 <br> <br>&nbsp;&nbsp;&nbsp; Politically Connected Boards&nbsp;&nbsp;&nbsp;&nbsp; 127 <br> <br>&nbsp;&nbsp;&nbsp; Employee Representation&nbsp;&nbsp;&nbsp;&nbsp; 129 <br> <br>&nbsp;&nbsp;&nbsp; Boards with “Busy” Directors&nbsp;&nbsp;&nbsp;&nbsp; 131 <br> <br>&nbsp;&nbsp;&nbsp; Interlocked (or Connected) Boards&nbsp;&nbsp;&nbsp;&nbsp; 134 <br> <br>&nbsp;&nbsp;&nbsp; Committee Overlap&nbsp;&nbsp;&nbsp;&nbsp; 135 <br> <br>&nbsp;&nbsp;&nbsp; Board Size&nbsp;&nbsp;&nbsp;&nbsp; 136 <br> <br>&nbsp;&nbsp;&nbsp; Board Diversity&nbsp;&nbsp;&nbsp;&nbsp; 136 <br> <br>&nbsp;&nbsp;&nbsp; Female Directors&nbsp;&nbsp;&nbsp;&nbsp; 138 <br> <br>Summary&nbsp;&nbsp;&nbsp;&nbsp; 139 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 141 <br> <br>Interlude&nbsp;&nbsp;&nbsp;&nbsp; 150 <br> <br> Chapter 6&nbsp; Strategy, Performance Measurement, and Risk Management&nbsp;&nbsp;&nbsp;&nbsp; 151 <br> <br>Organizational Strategy&nbsp;&nbsp;&nbsp;&nbsp; 151 <br> <br>Strategy Implementation Process&nbsp;&nbsp;&nbsp;&nbsp; 154 <br> <br>Business Model Development and Testing&nbsp;&nbsp;&nbsp;&nbsp; 156 <br> <br>&nbsp;&nbsp;&nbsp; Example 1: Fast-Food Chain and Employee Turnover&nbsp;&nbsp;&nbsp;&nbsp; 156 <br> <br>&nbsp;&nbsp;&nbsp; Example 2: Financial Services Firm and Investment Advisor Retention&nbsp;&nbsp;&nbsp;&nbsp; 158 <br> <br>Key Performance Measures&nbsp;&nbsp;&nbsp;&nbsp; 159 <br> <br>How Well Are Boards Doing with Performance Measures and Business Models?&nbsp;&nbsp;&nbsp;&nbsp; 162 <br> <br>Risk and Risk Management&nbsp;&nbsp;&nbsp;&nbsp; 164 <br> <br>Risk and Risk Tolerance&nbsp;&nbsp;&nbsp;&nbsp; 165 <br> <br>Risk to the Business Model&nbsp;&nbsp;&nbsp;&nbsp; 166 <br> <br>Risk Management&nbsp;&nbsp;&nbsp;&nbsp; 169 <br> <br>Oversight of Risk Management&nbsp;&nbsp;&nbsp;&nbsp; 172 <br> <br>Assessing Board Performance on Risk Management&nbsp;&nbsp;&nbsp;&nbsp; 174 <br> <br>Cybersecurity&nbsp;&nbsp;&nbsp;&nbsp; 175 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 177 <br> <br> Chapter 7&nbsp; CEO Selection, Turnover, and Succession Planning&nbsp;&nbsp;&nbsp;&nbsp; 181 <br> <br>Labor Market for Chief Executive Officers&nbsp;&nbsp;&nbsp;&nbsp; 181 <br> <br>Labor Pool of CEO Talent&nbsp;&nbsp;&nbsp;&nbsp; 184 <br> <br>CEO Turnover&nbsp;&nbsp;&nbsp;&nbsp; 186 <br> <br>Newly Appointed CEOs&nbsp;&nbsp;&nbsp;&nbsp; 191 <br> <br>Models of CEO Succession&nbsp;&nbsp;&nbsp;&nbsp; 193 <br> <br>&nbsp;&nbsp;&nbsp; External Candidate&nbsp;&nbsp;&nbsp;&nbsp; 193 <br> <br>&nbsp;&nbsp;&nbsp; President and/or Chief Operating Officer&nbsp;&nbsp;&nbsp;&nbsp; 195 <br> <br>&nbsp;&nbsp;&nbsp; Horse Race&nbsp;&nbsp;&nbsp;&nbsp; 196 <br> <br>&nbsp;&nbsp;&nbsp; Inside–Outside Model&nbsp;&nbsp;&nbsp;&nbsp; 197 <br> <br>The Succession Process&nbsp;&nbsp;&nbsp;&nbsp; 197 <br> <br>How Well Are Boards Doing with Succession Planning?&nbsp;&nbsp;&nbsp;&nbsp; 201 <br> <br>Executive Search Firms&nbsp;&nbsp;&nbsp;&nbsp; 203 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 205 <br> <br> Chapter 8&nbsp; Executive Compensation and Incentives&nbsp;&nbsp;&nbsp;&nbsp; 211 <br> <br>The Controversy over Executive Compensation&nbsp;&nbsp;&nbsp;&nbsp; 212 <br> <br>Competing Theories of CEO Pay&nbsp;&nbsp;&nbsp;&nbsp; 213 <br> <br>Components of Compensation&nbsp;&nbsp;&nbsp;&nbsp; 214 <br> <br>Determining Compensation&nbsp;&nbsp;&nbsp;&nbsp; 218 <br> <br>Compensation Consultants&nbsp;&nbsp;&nbsp;&nbsp; 221 <br> <br>Compensation Levels&nbsp;&nbsp;&nbsp;&nbsp; 221 <br> <br>Ratio of CEO Pay to Other Top Executive Pay&nbsp;&nbsp;&nbsp;&nbsp; 226 <br> <br>Ratio of CEO Pay to Average Employee Pay&nbsp;&nbsp;&nbsp;&nbsp; 229 <br> <br>Compensation Mix&nbsp;&nbsp;&nbsp;&nbsp; 230 <br> <br>Short-Term Incentives&nbsp;&nbsp;&nbsp;&nbsp; 233 <br> <br>Long-Term Incentives&nbsp;&nbsp;&nbsp;&nbsp; 235 <br> <br>Benefits and Perquisites&nbsp;&nbsp;&nbsp;&nbsp; 237 <br> <br>Compensation Disclosure&nbsp;&nbsp;&nbsp;&nbsp; 238 <br> <br>Say-on-Pay&nbsp;&nbsp;&nbsp;&nbsp; 239 <br> <br>Competing Theories of CEO Pay&nbsp;&nbsp;&nbsp;&nbsp; 242 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 243 <br> <br> Chapter 9&nbsp; Executive Equity Ownership&nbsp;&nbsp;&nbsp;&nbsp; 251 <br> <br>Equity Ownership and Firm Performance&nbsp;&nbsp;&nbsp;&nbsp; 251 <br> <br>Equity Ownership and Risk&nbsp;&nbsp;&nbsp;&nbsp; 254 <br> <br>Equity Ownership and Agency Costs&nbsp;&nbsp;&nbsp;&nbsp; 259 <br> <br>Accounting Manipulation&nbsp;&nbsp;&nbsp;&nbsp; 260 <br> <br>Manipulation of Equity Grants&nbsp;&nbsp;&nbsp;&nbsp; 261 <br> <br>&nbsp;&nbsp;&nbsp; Other Examples of Value Extraction through Timing&nbsp;&nbsp;&nbsp;&nbsp; 263 <br> <br>Equity Sales and Insider Trading&nbsp;&nbsp;&nbsp;&nbsp; 264 <br> <br>Rule 10b5-1&nbsp;&nbsp;&nbsp;&nbsp; 267 <br> <br>Hedging&nbsp;&nbsp;&nbsp;&nbsp; 269 <br> <br>Pledging&nbsp;&nbsp;&nbsp;&nbsp; 273 <br> <br>Repricing and Exchange Offers&nbsp;&nbsp;&nbsp;&nbsp; 274 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 277 <br> <br> Chapter 10&nbsp; Financial Reporting and External Audit&nbsp;&nbsp;&nbsp;&nbsp; 285 <br> <br>The Audit Committee&nbsp;&nbsp;&nbsp;&nbsp; 285 <br> <br>Accounting Quality, Transparency, and Controls&nbsp;&nbsp;&nbsp;&nbsp; 286 <br> <br>Financial Reporting Quality&nbsp;&nbsp;&nbsp;&nbsp; 288 <br> <br>&nbsp;&nbsp;&nbsp; Non-GAAP Reporting&nbsp;&nbsp;&nbsp;&nbsp; 290 <br> <br>Financial Restatements&nbsp;&nbsp;&nbsp;&nbsp; 291 <br> <br>Models to Detect Accounting Manipulations&nbsp;&nbsp;&nbsp;&nbsp; 297 <br> <br>The External Audit&nbsp;&nbsp;&nbsp;&nbsp; 299 <br> <br>Audit Quality&nbsp;&nbsp;&nbsp;&nbsp; 302 <br> <br>Structure of Audit Industry&nbsp;&nbsp;&nbsp;&nbsp; 302 <br> <br>Impact of Sarbanes–Oxley&nbsp;&nbsp;&nbsp;&nbsp; 305 <br> <br>External Auditor as CFO&nbsp;&nbsp;&nbsp;&nbsp; 307 <br> <br>Auditor Rotation&nbsp;&nbsp;&nbsp;&nbsp; 308 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 310 <br> <br> Chapter 11&nbsp; The Market for Corporate Control&nbsp;&nbsp;&nbsp;&nbsp; 319 <br> <br>The Market for Corporate Control&nbsp;&nbsp;&nbsp;&nbsp; 320 <br> <br>Stock Market Assessment of Acquiring and Target Firms&nbsp;&nbsp;&nbsp;&nbsp; 324 <br> <br>&nbsp;&nbsp;&nbsp; Who Gets Acquired?&nbsp;&nbsp;&nbsp;&nbsp; 324 <br> <br>&nbsp;&nbsp;&nbsp; Who Gets the Value in a Takeover?&nbsp;&nbsp;&nbsp;&nbsp; 327 <br> <br>Antitakeover Protections&nbsp;&nbsp;&nbsp;&nbsp; 330 <br> <br>Antitakeover Actions&nbsp;&nbsp;&nbsp;&nbsp; 331 <br> <br>&nbsp;&nbsp;&nbsp; Poison Pills&nbsp;&nbsp;&nbsp;&nbsp; 333 <br> <br>&nbsp;&nbsp;&nbsp; Staggered Board&nbsp;&nbsp;&nbsp;&nbsp; 335 <br> <br>&nbsp;&nbsp;&nbsp; State of Incorporation&nbsp;&nbsp;&nbsp;&nbsp; 337 <br> <br>&nbsp;&nbsp;&nbsp; Dual-Class Shares&nbsp;&nbsp;&nbsp;&nbsp; 339 <br> <br>Warding Off Unwanted Acquirers&nbsp;&nbsp;&nbsp;&nbsp; 341 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 344 <br> <br> Chapter 12&nbsp; Shareholders and Shareholder Activism&nbsp;&nbsp;&nbsp;&nbsp; 351 <br> <br>The Role of Shareholders&nbsp;&nbsp;&nbsp;&nbsp; 351 <br> <br>Blockholders and Institutional Investors&nbsp;&nbsp;&nbsp;&nbsp; 354 <br> <br>Institutional Investors and Proxy Voting&nbsp;&nbsp;&nbsp;&nbsp; 357 <br> <br>Activist Investors&nbsp;&nbsp;&nbsp;&nbsp; 359 <br> <br>&nbsp;&nbsp;&nbsp; Pension Funds&nbsp;&nbsp;&nbsp;&nbsp; 361 <br> <br>&nbsp;&nbsp;&nbsp; ESG and Socially Responsible Investing&nbsp;&nbsp;&nbsp;&nbsp; 363 <br> <br>&nbsp;&nbsp;&nbsp; Individual Activist Investors&nbsp;&nbsp;&nbsp;&nbsp; 364 <br> <br>&nbsp;&nbsp;&nbsp; Activist Hedge Funds&nbsp;&nbsp;&nbsp;&nbsp; 366 <br> <br>The Rise of Index Investing&nbsp;&nbsp;&nbsp;&nbsp; 370 <br> <br>Shareholder Democracy and Corporate Engagement&nbsp;&nbsp;&nbsp;&nbsp; 371 <br> <br>&nbsp;&nbsp;&nbsp; Majority Voting in Uncontested Director Elections&nbsp;&nbsp;&nbsp;&nbsp; 371 <br> <br>&nbsp;&nbsp;&nbsp; Proxy Access&nbsp;&nbsp;&nbsp;&nbsp; 372 <br> <br>&nbsp;&nbsp;&nbsp; Proxy Voting&nbsp;&nbsp;&nbsp;&nbsp; 372 <br> <br>&nbsp;&nbsp;&nbsp; Corporate Engagement&nbsp;&nbsp;&nbsp;&nbsp; 374 <br> <br>Proxy Advisory Firms&nbsp;&nbsp;&nbsp;&nbsp; 375 <br> <br>Endnotes&nbsp;&nbsp;&nbsp;&nbsp; 381 <br> <br> Chapter 13&nbsp; Stakeholders and Stakeholder Activism&nbsp;&nbsp;&nbsp;&nbsp; 391 <br> <br>Pressure to Incorporate Stakeholder Interests&nbsp;&nbsp;&nbsp;&nbsp; 392 <br> <br>Legal and Economic Implications&nbsp;&nbsp;&nbsp;&nbsp; 397 <br> <br>Director and CEO Views on Stakeholders&nbsp;&nbsp;&nbsp; 401 <br> <br>ESG Metrics and Disclosure&nbsp;&nbsp;&nbsp; 402 <br> <br>External Assessment of ESG&nbsp;&nbsp;&nbsp; 407 <br> <br>Endnotes&nbsp;&nbsp;&nbsp; 417 <br> <br> Chapter 14&nbsp; Corporate Governance and ESG Ratings&nbsp;&nbsp;&nbsp; 425 <br> <br>Third-Party Ratings&nbsp;&nbsp;&nbsp; 425 <br> <br>Credit Ratings&nbsp;&nbsp;&nbsp; 426 <br> <br>Commercial Corporate Governance Ratings&nbsp;&nbsp;&nbsp; 428 <br> <br>&nbsp;&nbsp;&nbsp; ISS: Corporate Governance Quotient&nbsp;&nbsp;&nbsp; 428 <br> <br>&nbsp;&nbsp;&nbsp; ISS: Governance Risk Indicators&nbsp;&nbsp;&nbsp; 430 <br> <br>&nbsp;&nbsp;&nbsp; ISS: QualityScore&nbsp;&nbsp;&nbsp; 430 <br> <br>&nbsp;&nbsp;&nbsp; MSCI ESG Governance Metrics&nbsp;&nbsp;&nbsp; 431 <br> <br>&nbsp;&nbsp;&nbsp; Testing the Predictability of Corporate Governance Ratings&nbsp;&nbsp;&nbsp; 432 <br> <br>Governance Rating Systems by Academic Researchers&nbsp;&nbsp;&nbsp; 433 <br> <br>The Viability of Governance Ratings&nbsp;&nbsp;&nbsp; 438 <br> <br>ESG Ratings&nbsp;&nbsp;&nbsp; 439 <br> <br>&nbsp;&nbsp;&nbsp; MSCI ESG&nbsp;&nbsp;&nbsp; 440 <br> <br>&nbsp;&nbsp;&nbsp; Sustainalytics&nbsp;&nbsp;&nbsp; 441 <br> <br>&nbsp;&nbsp;&nbsp; Vigeo Eiris&nbsp;&nbsp;&nbsp; 442 <br> <br>&nbsp;&nbsp;&nbsp; HIP (Human Impact + Profit)&nbsp;&nbsp;&nbsp; 442 <br> <br>&nbsp;&nbsp;&nbsp; ISS E&amp;S Disclosure QualityScore&nbsp;&nbsp;&nbsp; 442 <br> <br>&nbsp;&nbsp;&nbsp; TruValue Labs&nbsp;&nbsp;&nbsp; 443 <br> <br>&nbsp;&nbsp;&nbsp; Evaluation of ESG Ratings&nbsp;&nbsp;&nbsp; 443 <br> <br>Endnotes&nbsp;&nbsp;&nbsp; 444 <br> <br> Chapter 15&nbsp; Alternative Models of Governance&nbsp;&nbsp;&nbsp; 449 <br> <br>Family-Controlled Corporations&nbsp;&nbsp;&nbsp; 449 <br> <br>Venture-Backed Companies&nbsp;&nbsp;&nbsp; 452 <br> <br>Private Equity-Owned Companies&nbsp;&nbsp;&nbsp; 458 <br> <br>Nonprofit Organizations&nbsp;&nbsp;&nbsp; 462 <br> <br>Endnotes&nbsp;&nbsp;&nbsp; 466 <br> <br> Chapter 16&nbsp; Summary and Conclusions&nbsp;&nbsp;&nbsp; 473 <br> <br>Testing Remains Insufficient&nbsp;&nbsp;&nbsp; 474 <br> <br>The Current Focus Is Misdirected&nbsp;&nbsp;&nbsp; 475 <br> <br>Important Variables Are Clearly Missing&nbsp;&nbsp;&nbsp; 476 <br> <br>Context Is Important&nbsp;&nbsp;&nbsp; 477 <br> <br>Rights of Shareholders and Stakeholders&nbsp;&nbsp;&nbsp; 478 <br> <br>Endnotes&nbsp;&nbsp;&nbsp; 478 <br> <br> Index&nbsp;&nbsp;&nbsp; 481 <br> <br> <br>

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