Transparency And Accountability In Corporate Governance: Key Drivers Of Corporate Success
- IJLLR Journal
- Apr 21
- 1 min read
Ms. Sidhi Kamra, LLM (Business Law), AIALS, Amity University, Noida, Uttar Pradesh.
ABSTRACT
Corporate governance has emerged as one of the most critical determinants of long-term organizational sustainability and investor confidence. This article examines how transparency and accountability two foundational pillars of corporate governance function as key drivers of corporate success. Drawing on agency theory, stakeholder theory, and empirical evidence from global markets, the paper argues that organizations with robust governance frameworks experience superior financial performance, reduced agency costs, enhanced stakeholder trust, and greater resilience during periods of institutional uncertainty. The article further reviews the evolution of regulatory frameworks including the Sarbanes-Oxley Act, the UK Corporate Governance Code, and the OECD Principles of Corporate Governance, assessing their impact on corporate behavior. The findings suggest that transparency and accountability are not merely normative ideals but measurable strategic assets that materially influence firm valuation, risk management, and competitive positioning. Implications for policymakers, boards of directors, and scholars are discussed.
Keywords: corporate governance, transparency, accountability, agency theory, stakeholder theory, firm performance, board of directors, regulatory frameworks.
