From the above description, it is amply clear that
India presents an ideal case for the analysis of improving
CG through making an effective use of an AC practices
followed by the corporations because the economy has
been undergoing rapid economic transformation in the
financial services, tourism, information-technology sectors,
and the ‘niche’ manufacturing gaining momentum too. In
the Indian-context, there has been very limited number
of AC studies, as compared to its Western and European
counterparts. However, just two studies are available on the
theme of an AC in India, which were done by Al-Mudhaki
and Joshi (2004) and Agarwal (2006). The foregoing
discussion suggests that the literature on the determinants
of an AC disclosure in the Indian CG context is very
limited and inconclusive. Thus, our present study builds
on the previous literature of an AC practice and overall
CG scenario in the Indian corporate sector. The scope
of this study has been confined to top 500 Indian listed
companies, and a ‘content’ analysis was performed on their
annual reports for four years, namely, 2005-06 and 2008-
09 respectively. The present study also contributes to the
literature in an important sense that it analyzes data from a
developing country and an emerging capital market, which
has not been widely studied before on the role of an AC in
the context of CG requirements.