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CORPORATE GOVERNANCE PRACTICES AND PERFORMANCES IN THE MOBILE AND DATA SERVICES COMPANIES IN RWANDA

Edgar Opata, Dr. Z Awino

Abstract


Purpose: The study sought to determine the corporate governance practices and performances in the mobile and data services companies in Rwanda

Methodology: The research was carried out through descriptive survey design. Data was analyzed using Statistical Package for Social Sciences (SPSS) and results presented in frequency tables to show trend of the responses for the various questions posed to the respondents. The data was then analyzed in terms of descriptive statistics like means and percentages.

Results: The results revealed financial disclosure was a key determinant of company’s performance or profitability. This was demonstrated by the mean score of responses of the respondents. However financial disclosure was found not to be statistically significant in influencing profitability. Results showed that executive compensation influenced profitability as this was demonstrated by the mean score of the responses and the regression. The correlation between executive compensation and profitability was also found to be strong and positive. The study findings showed that ownership structures were a key ingredient of company’s performance. Ownership structures were found to be statistically significant. The fourth and final objective was to find out whether legal structure influenced company’s profitability. It was found that legal structure was important to firm’s profitability but was not statistically significant.

Unique contribution to theory, practice and policy: The study recommends that the management should practice financial transparency by ensuring that the company follows international financial report standards and guidelines in making the annual reports and ensure that they release quarterly performance reports to the public and their business partners. The study also recommends that the effectiveness of the board is very essential in today’s competitive environment for increases firm value. It is also recommended that the firm should have well-structured ownership structures in their companies. The study recommends that the company should have a legal structure in place to ensure that all the legal battles are sorted out of court.

Keywords: corporate governance practices, performances, mobile, data service company



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Keywords


corporate governance practices, performances, mobile, data service company

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