Corporate Governance Practices in Qatar Essay Example | Topics and Well Written Essays - 500 words - 1

Corporate Governance Practices in Qatar - Essay Example Governments are creating new regulatory frameworks to improve corporate governance of companies (Adamson, 22- 03-2011). Multinational companies are evolving and changing corporate governance to meet benchmarks and the basic requirements required by investors in making investment decisions. Companies are focusing on best practices such as risk management in order to have good corporate governance. Companies are emphasizing the management of their reputations to improve the perception of local and global community about their images. The drive to implement good corporate governance and the financial crisis in Qatar have led directors and officers of multinational companies to increase the awareness of their responsibilities. The executives are taking companies’ failure as personal liability. In Qatar, Investors are holding executives and boards responsible for unsatisfactory performance. Companies are under thorough scrutiny especially on managerial actions. Executives are aware of risks facing them. Therefore, they act to limit personal liability. The Arabic companies are embracing a more pragmatic and less litigious approach in their corporate governance to serve the international community. The Qatar government is creating new frameworks for practices and regulations that favour multinational companies. The aim of the government of Qatar to provide real business environments to attract both foreign and local investors. The greater accountability for boards and executives actions has made companies prio ritize shareholders’ interests. It is because shareholders and financial regulators put a scrutiny on issues of corporate governance. Multinational companies are now taking a proactive approach in risk management to protect executives and boards’ members. These companies are improving the standards of corporate governance to march the