Publication detail

Shareholder Democracy

Author(s): † doc. Ing. Jiří Havel CSc.,
Type: IES Working Papers
Year: 2003
Number: 38
Published in: IES WP 2003/38
Publishing place: Prague
JEL codes:
Suggested Citation:
Abstract: Joint-stock companies are among the most important entities in economic structure. Mushrooming of joint stock companies with shares registered on public markets was a product of voucher privatisation in the Czech Republic. These companies started their activities without a proper institutional framework. This led to the minimal protection of minority shareholders and caused many problems in the Czech capital markets functioning. From 1996 several improvements of the institutional framework were implemented. Now the Czech corporate law is fully harmonised with European standards formally. Weaknesses still survive in the enforcement of law. That is why both foreign and domestic investors prefer simpler forms of organisation than public limited companies.

Keywords: institutions, joint-stock company, transition, privatization, corruption, evolution, legal framework

JEL Classification: B52, G28, K11, K42, O17, P21
Downloadable: WP 38




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