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The Role of Corporate Governance in Enhancing Investor Confidence in the Digital Era

Chief Editors:  Mr. Irshadullah Asim Mohammed, Dr. Yogesh Mohan Gosavi, and Prof. (Dr.) Vineeta Kaur Saluja

Associate Editor: Mrs. Sruthi S

Co-Editors: Dr. S. Rajeswari, Dr. Nikhil Saini, and Ms. Atreyee Banerjee

ISBN:  978-81-985805-1-1

Chapter: 28

DOI: https://doi.org/10.59646/mrnc28/321

Author: G.V. Radhakrishnan

Abstract

Corporate governance plays a critical role in strengthening investor confidence, particularly in the digital era, where transparency, accountability, and ethical business practices are under constant scrutiny. With the rapid advancement of digital technologies, investors expect companies to adopt governance frameworks that ensure data security, regulatory compliance, and sustainable decision-making. Effective corporate governance fosters trust by mitigating risks related to cyber threats, financial fraud, and unethical management practices. Digital transformation has also led to new challenges, including the rise of algorithmic decision-making, artificial intelligence-driven financial models, and decentralized finance, all of which necessitate robust governance mechanisms. By implementing strong governance policies, organizations can enhance financial transparency, protect shareholder rights, and promote long-term value creation. This paper explores the evolving landscape of corporate governance in the digital age and highlights key strategies that businesses can adopt to reinforce investor confidence and ensure sustainable growth.

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