Effects Of Governance On Corporate Ethics: A Cross-Country Investigation

This research paper empirically investigates the extent to which the quality of governance measured through six dimensions developed by World Bank has a positive influence on the corporate ethics, or in other words, the ethical behaviour of firms in their interaction with public officials, politicia...

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Main Author: Cristina Boța-Avram
Format: Article
Language:English
Published: Editura ASE Bucuresti 2013-12-01
Series:Romanian Economic Journal
Subjects:
Online Access:http://www.rejournal.eu/article/effects-governance-corporate-ethics-cross-country-investigation
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author Cristina Boța-Avram
author_facet Cristina Boța-Avram
author_sort Cristina Boța-Avram
collection DOAJ
description This research paper empirically investigates the extent to which the quality of governance measured through six dimensions developed by World Bank has a positive influence on the corporate ethics, or in other words, the ethical behaviour of firms in their interaction with public officials, politicians and other companies. By using a dual approach, from geographical and income group classification, this study analyses data from official reports issued by World Bank and World Economic Forum for a final sample of 140 countries, trying to highlight the positive relationship that might exist between governance clusters and ethical behaviour of firms. For the purpose of the paper, a multiple regression analysis was performed. The research results confirm that there are strong positive correlations between most of the governance indicators and companies’ ethical behaviour, even if there are some differences between various geographical areas, and also between different income categories economies, in terms of the intensity of this influence.
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spelling doaj.art-20f65ade642145dfa55f22e377fb0b752022-12-22T00:58:27ZengEditura ASE BucurestiRomanian Economic Journal1454-42962286-20562013-12-01XVI50326Effects Of Governance On Corporate Ethics: A Cross-Country InvestigationCristina Boța-Avram 0Babeş-Bolyai University, Faculty of Economics and Business Administration,This research paper empirically investigates the extent to which the quality of governance measured through six dimensions developed by World Bank has a positive influence on the corporate ethics, or in other words, the ethical behaviour of firms in their interaction with public officials, politicians and other companies. By using a dual approach, from geographical and income group classification, this study analyses data from official reports issued by World Bank and World Economic Forum for a final sample of 140 countries, trying to highlight the positive relationship that might exist between governance clusters and ethical behaviour of firms. For the purpose of the paper, a multiple regression analysis was performed. The research results confirm that there are strong positive correlations between most of the governance indicators and companies’ ethical behaviour, even if there are some differences between various geographical areas, and also between different income categories economies, in terms of the intensity of this influence.http://www.rejournal.eu/article/effects-governance-corporate-ethics-cross-country-investigationethical behaviourgovernance indicatorscontrol of corruptionrule of law
spellingShingle Cristina Boța-Avram
Effects Of Governance On Corporate Ethics: A Cross-Country Investigation
Romanian Economic Journal
ethical behaviour
governance indicators
control of corruption
rule of law
title Effects Of Governance On Corporate Ethics: A Cross-Country Investigation
title_full Effects Of Governance On Corporate Ethics: A Cross-Country Investigation
title_fullStr Effects Of Governance On Corporate Ethics: A Cross-Country Investigation
title_full_unstemmed Effects Of Governance On Corporate Ethics: A Cross-Country Investigation
title_short Effects Of Governance On Corporate Ethics: A Cross-Country Investigation
title_sort effects of governance on corporate ethics a cross country investigation
topic ethical behaviour
governance indicators
control of corruption
rule of law
url http://www.rejournal.eu/article/effects-governance-corporate-ethics-cross-country-investigation
work_keys_str_mv AT cristinabotaavram effectsofgovernanceoncorporateethicsacrosscountryinvestigation