The Role of Small Corporate Governance on Reducing Risk and Enhancing Small Enterprises Sustainable Performance after Corona Pandemic in Saudi Arabia

Abstract

The study investigated the role of the small corporate governance in reducing risk and enhancing the sustainable performance after the Corona pandemic in Saudi Arabia. The problem of the study was represented in that the principles of governance are not applied in small enterprises and this causes great risks to small enterprises and financial reports users.The study aims to identify to what extent the principles of governance reduce risk in the small enterprises in Saudi Arabia and to identify to what extent the principles of governance are applied in Saudi Arabia to achieve the sustainable performance. The descriptive analytical approach was used to measure the relationship between the role of the principles of governance and reducing risk and enhancing the sustainable performance in the small enterprises in Saudi Arabia through collecting primary and secondary data from the previous research (previous research and studies).The study hypotheses were:There is a statistically significant relationship between applying the principles of governance and reducing risk after the Corona pandemic. There is a statistically significant relationship between applying the principles of governance and small enterprises' performance and financial reports' users after the Corona pandemic.The study concluded the following findings:1. There is a statistically significant relationship between applying the principles of governance and reducing risk after the Corona pandemic.
 2. Board of directors' objectives, tasks and powers are defned clearly and in details and they are oriented toward maximizing the shareholders' value3. There is a statistically significant relationship between applying the principles of governance and enhancing the sustainable performance.4. There are standards of improving the relationship between the enterprise and the parts of community.The researchers recommended the following:1. There should be emphasis on the small investors' rights and their right to elect the members of the board of directors.2. Managers and employees should be trained to obtain sufficient knowledge about the principles of governance.