For an outsider regime, since the ownership become so widely dispersed,
which result in the separation of ownership and management, the selection of the
board is left to the board itself without any shareholder’s influence. Therefore, the
dispersion of ownership has resulted to the shift of company management and control
from the shareholder to the management team. Two best example countries that can
be described these characters are United Kingdom and United States. While the
Insider Regime, the ownership is concentrated; therefore, the major shareholder
usually selects the board member. The management in Insider model is usually
represented and selected by a large shareholder; the regime can usually be seen in
many countries that do not usually raise their capital though financial markets such as
Germany and Japan