Economic systems are witnessing a generalized effort to improve corporate governance structures and processes. Waves of scandals and increasing public scrutiny ask for institutional regulators and corporate boards of directors to establish and adopt new practices. Codes of good governance have emerged as a primary tool to increase the effectiveness of corporate governance systems. Building on extant views of institutional change, in this paper we study the process of institutionalization of codes of governance and the role of the different actors involved in issuing the codes. We define four groups of actors: Law makers, Model makers, Market makers and Governance enactors,. We analyze a sample of 78 countries introducing 150 codes of governance from 1978 to 2004 in order to describe the following stages of institutionalization: precipitating jolts, theorization, diffusion and re-institutionalization. The description invites for thorough investigations on the content of codes of governance as well as on the likelihood of adoption of codes in a given country.
- Business Schools,
- Latin America
Available at: http://works.bepress.com/alfredo_enrione/3/