Alibaba Corporate Governance Case Study

Corporate governance is a set of actions used to handle the relationship between stakeholders by determining and controlling the strategic direction and performance of the organization. Corporate governance major concern is making sure that the strategic decisions are effective and that it paves the way towards strategic competitiveness. (Hitt, Ireland, Hoskisson, 2017, p. 310). In today’s corporation, the primary objective of corporate governance is to align top-level manager’s and stakeholders interest. That is why corporate governance is involved when there is a conflict of interest between with the owners, managers, and members of the board of directors (Hitt, Ireland, Hoskisson, 2017, p. 310-311).

The objective of this report is to critically analyse and review the level of corporate governance followed by the EAM Maliban Textile (Pvt) Ltd.

Shareholders: The shareholder preferences are they might well have put forward the seed capital which ABC need to get started so their needs are important. Ultimately the board, acting on behalf of the shareholders, can replace the CEO and the executive team. However, provided ABC are broadly on plan in terms of revenues and profit the shareholders are generally satisfied and will leave us alone. They will only take action when things are going badly wrong so ABC do not need to always act to please them.

One major flaw built within the business model of Alibaba is its ability on controlling the merchants and their quality of goods. Since both Taobao and Tmall relied on third party sellers to provide goods and services, it lacks the ability to enforce strong quality control and eliminate counterfeit goods. In fact, consumers were well aware of it and this issue had already been damaging Alibaba’s reputation in online retailing markets. However, its major competitor, JD.com would be having much stronger abilities and incentives to eliminate these

Corporate governance is based largely on trust – the trust, by the stakeholders, that revenues will be fairly shared, and that those directly involved in running the company are running it in an aboveboard, honest, and open manner, and that they represent the best

Alibaba Group is one of the world’s most successful Chinese multinational corporations originally based in China. It is an e-commerce company that provides consumer-to-consumer, business-to-consumer and business-to-business services through web portals for both international and domestic China trade. Alibaba launched various sites including Alibaba.com which was the first China’s commercial website launched in 1999. The purpose of Alibaba.com site is not just to connect Chinese supplier

Alibaba is China's largest global marketplace for online sourcing and shopping. With over 2 million supplier storefronts and an e-commerce platform similar to eBay and Amazon in the US, Alibaba offers safe and simple trade solutions and easy access to verified suppliers.

The Alibaba Company tries its level best to see that it removes any form of stabilization within the company. The company always has a dream on how people carry out their businesses and its desire is to see wealth being created together (Schepp et al, 2013). The companies always strive to give a community that its employees will enjoy working together with to meet their dreams but with minimal politics and bureaucracy. The recent clear image on the working environment was that everything is supposed to be transparent an open to all

Walmart is considered as the biggest retailer in United State and opening widely to over the world recently. The priority condition for its success firstly is come from the outstanding players of the corporate governance such as Board of directors and Activist Shareholders. These all creative and responsible leaders are required to possess ability for risk-taking willingness and control in order to govern company. In addition, the activist shareholders actively raise their voice in the policies and strategies’ approval. All in all, the excellent corporate governance they made ensures an accountable and integrity system operated.

There is a Chinese proverb that a fish rots from the head. This statement underlies the importance of leadership in any organized activity. In understanding the dichotomy between shareholders and management it is critical to define exactly what the role of the shareholder encompasses. According to Fama (1980), a shareholder is an individual that owns a part of a public or private corporation. To fulfill their role, shareholders must have certain skill sets to allow them to make good decisions for the firm. First, they must be comfortable in an authority position while being able to provide constructive

The party-state monitoring of the state-owned enterprise in China remains a puzzle to most of the observers as the party state aims at creating the actual market economy. The neo-liberal privatization of the SOEs should run by entirely independent legal individuals with some anonymity to operate on the commercial basis. However, various factors influence the corporate governance in China with the critical pillars including respect for the stakeholders in the enterprise and legal protection of disclosure and transparency. Irrespective of the essence of corporate government transparency, the irony remains that the government is operated without anyone checking what is being done. The importance of the business-government in China has become a heated topic of discussion in the policy, academic and business decision makers throughout the country. The corporate governance is closely linked to the ongoing economic reforms in most of the state-owned enterprises, as well as the development of financial and security markets (Leng, 2009). The country has experienced new revisions regarding safety and company laws that focus more on government including the shareholder 's fiduciary duties and voting rights. The above rules significantly determine the roles that the corporate directors and the board play to ensure a balance of responsibilities between the directors and officers.

The article “PetroChina: International Corporate Governance with Chinese Characteristics” describes the major concerns about PetroChina’s corporate governance when and after it was listed on NYSE and HKSE, which was the first Chinese state-owned enterprise launched IPO overseas. This paper is based on the information provided by the article and will discuss in three aspects: Firstly, why corporate governance was important for China’s SOEs? Secondly, what were the special problems associated with PetroChina’s corporate governance model and what could be done to improve it? Finally, the postscript: the things I learn from this case study.

1. This article focuses on the Gompers, Ishii, and Metrick (GIM, 2003) study which found that strong shareholder rights lead to higher stock price returns and thus value. This is a great indicator that good governance has a direct effect on the performance of the firm. The article finds that corporate governance has a positive impact on the firm / management / shareholders. However good governance is not always the correct metric of evaluation for firms and boards. The primary finding of the article is from an economic analysis defending the relation between corporate governance and performance. This article examines the relationships among corporate governance / corporate performance / capital structure / and corporate ownership structure. Many of the past studies have taken into consideration only one measure of governance, while this study focused on seven different governance measures. The article also looks at the performance of a firm and the relationship it has with management turnover or disciplinary actions required.

This paper will discuss the corporate governance of the American retail giant “Walmart”, the purpose is to reach recommendations as to the company’s governance and changes (if any) that are needed for the future wellbeing of the organisation and its reputation. The world of corporate governance has been under the microscope in recent years after the global financial crisis (“GFC”) and a significant amount has been written and enacted within laws in different countries to try to aquire the right balance of experience, knowledge, fair-mindedness and independence, with individuals within boards and companies’ structures (especially those that are listed on stock exchanges). This report will detail the current structure of the company and also the recent past history with a number of negative occurrences. The company wields a significant amountl of power wherever it trades and has made a few friends and enemies alike in recent years.

Corporate Governance refers to the way a corporation is governed. It is the technique by which companies are directed and managed. It means carrying the business as per the stakeholders’ desires. It is actually conducted by the board of Directors and the concerned committees for the company’s stakeholder’s benefit. It is all about balancing individual and societal goals, as well as, economic and social goals. Corporate Governance is the interaction between various participants (shareholders, board of directors, and company’s management) in shaping corporation’s performance and the way it is proceeding towards. The relationship between the owners and the managers in an organization must be healthy and there should be no conflict between the