Corporate Governance and Legal Compliance
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https://doi.org/10.59022/ijlp.461Keywords:
Corporate Governance, Legal Compliance, Sustainability, Corporate Scandals, Non-Financial RisksAbstract
Corporate governance and legal compliance are fundamental pillars ensuring organizational integrity, sustainability, and value creation in the modern business landscape. This study examines the intrinsic link between a robust governance framework encompassing board effectiveness, transparency, and stakeholder accountability and rigorous adherence to statutory and regulatory mandates. It argues that legal compliance is a baseline requirement, while sound governance represents a strategic imperative that fosters ethical culture, mitigates systemic risks, and enhances corporate reputation. The analysis highlights that converging governance principles with compliance mechanisms not only safeguards against legal penalties and financial losses but also builds investor confidence and ensure long-term resilience. In an era of increasing regulatory complexity, integrating governance with proactive compliance emerges as a critical driver for ethical business conduct and sustainable competitive advantage.
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