Corporate Governance and Business Legitimacy

Abstract

The present chapter analyzes the relationship between corporate governance and business legitimacy. After introducing basic foundations of corporate governance, the state of the art of legitimate structures, processes, and systems of corporate governance is outlined. Based on a compilation of extant corporate governance indices, the empirical evidence on the performance implications of corporate governance is dealt with and discussed. The chapter concludes by providing promising avenues for future research on the association between corporate governance and business legitimacy.