Corporate Governance | Frenly Legal

Corporate governance refers to the mechanisms, processes, practices, and relations by which corporations are controlled and operated by their boards of directors, managers, shareholders, and stakeholders. It encompasses the responsibilities and roles of the board of directors, the relationship between the board and management, and the rights and interests of shareholders and other stakeholders. Effective corporate governance is essential for ensuring that companies are run in a responsible and ethical manner, with the goal of creating long-term value for shareholders and contributing to the well-being of society. The World Economic Forum notes that corporate governance is important for a company's overall sustainability strategy. Companies like Google and Amazon have implemented innovative corporate governance practices, such as dual-class share structures and independent board members.