Date of this Version

11-23-2007

Document Type

Journal Article

Abstract

In the last two decades, corporations in developed markets have been swimming in a sea of regulations. These regulations include ever‐changing statutory acts, suggestive or prescriptive practice notes, regulatory policy statements, and auditing and accounting requirements. On top of this, if the company wants to be listed on an equity market it must conform to the rules of that market. In some countries, even further regulation is imposed by government auditing and performance tracking. All of this takes place before a company is even able to create a product or service to sell. After that it must abide by trade regulations, principles of tortious and contractual liability and the principles of equity.