Corporate Governance and Financial Performance With a Perspective on Board Size and Frequency of Board Meetings:Empirical Evidence from India

In today’s corporate world, every stakeholder’s group requires good corporate governance. Corporate Governance reforms were initiated after the rise of frauds and scams in the corporate sector. Corporate Governance mechanism protects the interests of stakeholders. Corporate governance has an important implication for the growth of an economy. Good corporate governance practices help to reduce the risk of investors, attract investment for capital and improve the performance of companies. In the present scenario of rising business scams all over the world, the present study addresses a central research question: how does corporate governance contribute to firm’s financial performance? Relationship of board size and the frequency of board’s meetings with firm’s financial performance, in terms of ROA, ROE, and EPS, PE Ratios has been examined in this research paper. The study is based on secondary data collected from PROWESS database. Regression analysis has been carried out to find out the impact of corporate governance variables on the firm’s financial performance measures.