Ownership Pattern and Corporate Governance Theory

The ownership pattern of corporate enterprises can be broadly of three types: (i) Widely dispersed, ownership particularly amongst large number of individual shareholders; (ii) Promotors' dominated shareholding pattern where promoters may be owning 30% to 80% or more vis-a-vis individual shareholders who own less then 30% of the total capital and (iii) A unique ownership pattern where even banks and financial institutions, foreign Institutional investors or foreign individuals are the owners of the company.