Is behavioral response and stakeholder perception critical for effective governance?

Abstract

Stakeholders have become increasingly crucial in the corporate hierarchy. So as a natural impact, their rights need to be preserved. One of the primary objectives of corporate governance is to maximize the value of the stakeholder legally, ethically, and on a sustainable basis. At the same time, it should maintain transparency in its operation to every stakeholder - the firms, consumers, workers, investors, vendors, and the community. This research paper provides a detailed investigation of the Perception and cognizance of stakeholders belonging to life insurance firms. The study is done on (n=150) respondents from the stakeholders of public and private sector life insurance businesses. This research demonstrates that the level of anticipation is good, but the degree of satisfaction was high among the stakeholders of the Life Insurance Industry. A significant statistical association has been found between the qualification and the understanding of corporate governance principles and laws and regulations. This study revealed that the life insurance firms in India are satisfying the expectation of the stakeholders, but they are necessary to educate the graduate stakeholders to raise their cognizance of corporate governance.