TY - JOUR
T1 - Corporate governance in the Middle East and North Africa
T2 - A systematic review of current trends and opportunities for future research
AU - Farah, Bassam
AU - Elias, Rida
AU - Aguilera Vaqués, R.
AU - Abi Saad, Elie
N1 - Publisher Copyright:
© 2021 John Wiley & Sons Ltd
PY - 2021/11
Y1 - 2021/11
N2 - Research Question/Issue: We systematically review the corporate governance (CG) literature on the Middle East and North Africa (MENA), organize it into six main themes and their subthemes, and propose several opportunities for future research. Research Findings/Insights: We highlight CG's unique characteristics in the MENA region as well as differences and similarities across MENA countries. We shed light on how organizations are governed in this region especially that their ownership structures are centered on families and the state, and that Islam plays a major role in their governance. Our review establishes a solid foundation for future research directed at CG practices in the MENA region and encourages policymakers and practitioners to improve CG in the region. Theoretical/Academic Implications: To the best of our knowledge, this is the first systematic literature review covering CG in the MENA region. In an effort to encourage the continuing evolution of this research stream and augment its contributions to the broader CG literature, we develop an extensive research agenda focusing on several key topics that deserve further attention such as ownership and countries' political regimes, family business and royal families, Sharia law, and executive compensation, among others. Practitioner/Policy Implications: This review invites policymakers and investors to consider implementing better policies aimed at improving CG practices, specifically by fomenting transparency, developing financial markets, providing stronger protections for minority shareholders, and enhancing compliance with existing and new regulations.
AB - Research Question/Issue: We systematically review the corporate governance (CG) literature on the Middle East and North Africa (MENA), organize it into six main themes and their subthemes, and propose several opportunities for future research. Research Findings/Insights: We highlight CG's unique characteristics in the MENA region as well as differences and similarities across MENA countries. We shed light on how organizations are governed in this region especially that their ownership structures are centered on families and the state, and that Islam plays a major role in their governance. Our review establishes a solid foundation for future research directed at CG practices in the MENA region and encourages policymakers and practitioners to improve CG in the region. Theoretical/Academic Implications: To the best of our knowledge, this is the first systematic literature review covering CG in the MENA region. In an effort to encourage the continuing evolution of this research stream and augment its contributions to the broader CG literature, we develop an extensive research agenda focusing on several key topics that deserve further attention such as ownership and countries' political regimes, family business and royal families, Sharia law, and executive compensation, among others. Practitioner/Policy Implications: This review invites policymakers and investors to consider implementing better policies aimed at improving CG practices, specifically by fomenting transparency, developing financial markets, providing stronger protections for minority shareholders, and enhancing compliance with existing and new regulations.
KW - board of directors
KW - corporate governance
KW - financial disclosure
KW - Middle East and North Africa (MENA)
KW - ownership
UR - http://www.scopus.com/inward/record.url?scp=85106655784&partnerID=8YFLogxK
U2 - 10.1111/corg.12377
DO - 10.1111/corg.12377
M3 - Article
AN - SCOPUS:85106655784
SN - 0964-8410
VL - 29
SP - 630
EP - 660
JO - Corporate Governance: An International Review
JF - Corporate Governance: An International Review
IS - 6
ER -