What legitimizes power within a corporation? This question is of
concern to the millions of citizens whose lives depend upon the
fate of business corporations. The rules, institutions and
practices of corporate governance define the limits of the power to
direct, and determine under what conditions this power is
acceptable. Effective corporate governance has long been defined in
terms of economic performance. More recent studies have focused on
philosophical, political and historical analyses. Entrepreneurs and
Democracy unites these strands of inquiry - the legitimacy of
power, the evolution of multiple forms of governance and the
economics of performance - and proposes a framework for future
study. It explores the opposing tensions of entrepreneurial force
and social fragmentation that form the basis of legitimate
corporate governance in modern societies. In doing so, it
identifies a common logic that links both the democratization of
corporate governance and the growth of economic performance.
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