THE EFFECT OF CORPORATE GOVERNANCE DEVELOPMENT ON SHAREHOLDERS’ RIGHTS PROTECTION

Nowadays, for the investors, corporate governance?s development level in enterprises is very important when planning their investment as corporate governance?s development level in enterprises is an important indicator that the rights of investors will be better protected. The development of corporate governance is of utmost importance in terms of protecting the rights of both internal and external stakeholders in businesses, and using business resources more effectively and efficiently. At the national level, corporate governance?s development is of great importance in terms of both more effective and efficient use of national resources and the sustainability of social welfare. In this context, the purpose of this study is to analyse empirically the effects of corporate governance?s development on shareholders? rights protection in enterprises. The analysis conducted as a part of this study showed that as the level of corporate governance improves, the rights of shareholders are more protected. Supporting corporate governance?s development at both national and enterprise level will contribute to shareholders? rights protection on the one hand, and on the other hand, by making more efficient and effective use of national and corporate resources, it will contribute to greater social welfare.