Clarke (2006) argued that,“SMEs are forgotten stakeholders in the fair and efficient management of Australian
corporate governance. This is principally because the ‘corporate governance market’ is essentially aimed at listed
and other public companies. It is assumed that rules, norms and best practice will somehow magically trickle down to SMEs, but neither resources or practical guidance are offered for multi-tasking managers of SMEs. It is only by
default that the system of corporate governance takes into account the interests of SMEs. The current approach is
both politically unfair and economically inefficient. Legislators need to re-imagine the contemporary nature and
architecture of SMEs; in this way, corporate governance can be refigured so as to better reflect the particularities of,
and challenges faced by, Australia’s huge array of SME”.
Clarke (2006) argued that,“SMEs are forgotten stakeholders in the fair and efficient management of Australian
corporate governance. This is principally because the ‘corporate governance market’ is essentially aimed at listed
and other public companies. It is assumed that rules, norms and best practice will somehow magically trickle down to SMEs, but neither resources or practical guidance are offered for multi-tasking managers of SMEs. It is only by
default that the system of corporate governance takes into account the interests of SMEs. The current approach is
both politically unfair and economically inefficient. Legislators need to re-imagine the contemporary nature and
architecture of SMEs; in this way, corporate governance can be refigured so as to better reflect the particularities of,
and challenges faced by, Australia’s huge array of SME”.
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