Publication detail

Privatization, Foreign Investment and Corporate Governance: Theory and Practice in the Czech Republic

Author(s): prof. Ing. Michal Mejstřík CSc.,
Type: IES Occassional Papers
Year: 1999
Number: 1
ISSN / ISBN:
Published in: IES Occassional Papers 1/1999
Publishing place: Prague
Keywords: corporate governance, privatization
JEL codes: G28, G38
Suggested Citation: Mejstřík, M. (1999). “Privatization, Foreign Investment and Corporate Governance: Theory and Practice in the Czech Republic.” IES Occasional Paper 1/1999, IES FSV. Charles University.
Abstract: The corporate governance issues are seen by the author as the key barriers for further enterprise development within Czech Republic. The theoretical notions and assumptions of corporate governance are compared with the Czech institutional prerequisites and practice that results in a „Czech biased, bivalent” form of corporate governance. Next part is devoted to the analysis of the ownership structures and its influence on banking corporate governance failure that resulted in different restructuring profiles of particular types of companies. The foreign controlled companies seem to represent long-term standard of behaviour, with new internal and external contractual architecture, although these may in future be partially eroded in an environment with prevailing incomplete contracts used by number of participants for their individual benefit. Institutional changes following „acqui communitaire“, support of foreign investments and privatization of remaining state banks are seen as a consensual policy point of departure.
Downloadable: OP 1999_01_Mejstrik

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