Corporate Governance Efficiency. Can Objectivism and / or Antifragilism Provide a Solution?

Costin DĂMĂȘARU

Abstract


In recent years the term “corporate governance” has been a hot topic in the Romanian business environment due to the fact that Romanian authorities have tried to make a change in the way state owned enterprises (SOE’s) are being run, hiring corporate experienced managers to replace the politically imposed managers. Corporate governance refers to the set of systems, principles and processes by which a company is governed (Thompson, 2009). It can offer a solution to the inefficiency of the public administration or so it is believed, because there are many variables and particularities in the Romanian economy that are not found in a multinational corporation. The need to duplicate the efficiency of the way in which corporations are being run has been translated by Romanian authorities in a national program with the main objective of bringing professionals in the decision making process.

In this article we investigate the influence that two related philosophical and economic movements, as controversial as objectivism and highly regarded as antifragilism, set apart by half a century, can have on changing Romanian business environment. In the Romanian economic infrastructure, “crafted” by various groups of interest, most of them politically backed, we find burdening regulations and corruption creating a very interesting and corrosive mix. So, it would not be unusual to consider the fact that in this environment, the general opinion is that the only “entrepreneurs” who can and will succeed are the ones who have found ways in which to benefit from a privileged relationship with the all mighty State.


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