Analysing the levels of uniformity in corporate governance practices – Case study of five air lines companies

Abstract

This report provides the analysis of Corporate Governance in Airline Industry of five different countries that are listed on 2013 Index of Economic Freedom provided by the Heritage foundation. The aim of this report is to analyse and discuss the inadequacies in corporate governance practices for the five sample companies chosen. We also analyse the whistle blowing practices adopted and disclosed by the companies. Our analysis reveals that, though there is guidance for best practices of corporate governance, it is difficult to accentuate a single company possessing best governance practices. At the same time while whistle blowing practices are emphasized by stakeholders, our analysis of the five companies reveal that either the companies don’t have a strong whistle blowing policy or they don’t make it transparent to the stakeholders. Our contribution is therefore quite significant as we recommend that strong whistle blowing practices, if made transparent and if motivated to practice, could dilute the effect of not having best corporate governance practices.