The independent directorship system in China

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Wang, Margaret (2004) The independent directorship system in China. Australian journal of corporate law, 17 (2). pp. 243-259. ISSN 1037-4124


As China opens its doors further to attract foreign investment, the need for good corporate governance and independent directors increases. China has drafted two important and mandatory codes dealing with these issues. However, the implementation of independent directors still seems difficult, due mostly to the lack of qualified personnel, state influence, family companies and independent directors unable to properly perform their duties. This article outlines such difficulties and offers some suggestions as to how such a system could be better implemented and enforced in order to allow China to continue to attract foreign capital.

Item type Article
Subjects Historical > RFCD Classification > 390000 Law, Justice and Law Enforcement
Historical > Faculty/School/Research Centre/Department > School of Law
Keywords China, investment, corporate governance, World Trade Organization (WTO), economy, independent directors
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