THE IMPACT OF CORPORATE ACCOUNTABILITY & TRANSPARENCY ON THE PERFORMANCE OF MANUFACTURING SECTOR FIRMS LISTED ON KSE

Abstract

Economic success of a country, if described in few words, is the success of big
corporations of that country & vice versa. Corporate governance is thus economic
governance in general. Some of the major corporate sc&als that stunned global
economies & businesses followed by falling down of corporate giants like Enron, BCCI,
Coloroll, Polly Pech, Barings, HIH Insurance& Parmalat resulted in tight regulations,
codes, & principles of corporate governance. These sc&als erupted due to nonexistent
of accountability & transparency principles of corporate governance within these
companies as the management concealed important facts from the shareholders & that
they were also not accountable for their actions.
This empirical research study intends to examine different characteristics of Corporate
Governance & their impact on firm performance. These characteristics include
Transparency & Accountability. Analyses were based on primary data which will be
collected through questionnaire from 200 respondents. Correlation & Regression
analysis were used to get results of the study. Results of the study revealed positive
relationship between accountability & transparency with firm performance. The results
showed that accountability &transparency have positive significant impact on the firm
performance.