Book

Description

Corporate governance is widely understood as a system of governance of companies. At present, coroporate governance has become an essential component of modern corporations which can determine the success or failure of companies. Due to this, in the age of corporations, countries in the world have started to look seriously the governance of companies which operate in its land. In Ethiopia, there are various forms for foreign companies to operate business, one of which is through a registered branch of foreign company. There are a number of branches of foreign companies which are being engaged in various business activities.
The Ethiopian legal regime concerning branches of foreign companies has insufficient provisions on some governance aspects of such companies. With the absence of sufficient laws, there will be multifaceted impacts on those parties or stakeholders having various dealings with branches of foreign companies in Ethiopia. Such stakeholders include, but not limited to, creditors, the government, employees, customers of the branches of foreign companies and the public in general.