Browsing: G30

Introduction. New business models no longer rely on expectations of increased consumption, but rewarding the saving of resources and penalizing the waste of them. Businesses based on stable cash-flows rather than speculative businesses are the ones that survive in times of crisis. The current economic environment is characterized by several features, namely: consumers are more careful with spending and seek substitutes for expensive products; economic downturn trend creates the need for new products and services such as adult education or corporate data security; consumers are looking for and choose products that provide the best value for the money spent on them.

Aim of the study. Economic and financial failure of many Romanian companies has been highlighted in recent years by the evolution of their insolvency, as emphasized the research leads by Coface Romania: the coverage of deteriorating equity was made by attracting additional debt; attracting capital was made especially over short terms with the suppliers credit; more than half of long-term investments were unprofitable; constant increase of the average day’s sales in receivables showed an inadequate policy of commercial risk. In this context, it is important to reveal how leadership styles applied in Romanian companies has led to the development and worsening of their financial problems. The main issues relate to selective rotation pay providers according to the volume of transactions, business relations history, future interests or, simply, bargaining power and importance of each supplier.
Keywords: leadership styles, leader’s personality, aims of the leader, relations with followers, leader’s behaviour, organizational culture
JEL Classification: G30, G32, G35

Introduction. The analysis of corporate governance within institutions is a top subject right now. This concept currently de-fines a central and dynamic aspect in terms of economic reality, being increasingly present in many countries of the world. In the context of a modern economy, where all companies are facing changes due to the famous effects of the fourth industrial revolution and the crises caused by the Covid 19 pandemic, those who need to survive must be able to adapt immediately and operate at the highest level of efficiency. The ability to adapt to these challenges of the national and international markets depends on both managerial and leadership capabilities, as well as the general structure and characteristics. Achieving maximum overall performance of companies is the microeconomic goal of the “new economy”. The entire activity of financial institutions is built around the correct assessment and management of risk. Thus, risk management, ownership structure, motivation and remu-neration of the general manager were the central elements found in research papers on “corporate governance of banks”. The results of the literature study on risk management suggest a continuous increase in the relevance of this topic.

Aim of the study. The aim of the paper is to present the topic of corporate governance within the banking institutions. One of the limitations of this study is the lack of analysis in the current context triggered by the COVID-19 pan-demic. This pandemic is already having effects in terms of corporate governance, but also risk management as a whole. From the way banks approach and reanalyze customer relations, we see that the effects of the pandemic are already here.
Keywords: corporate governance, banking, leadership, economic efficiency
JEL Classification: G20, G30, G32, G34