OJAcct  Vol.3 No.4 , October 2014
Corporate Governance and Disclosure Practices in Listed Information Technology (IT) Companies in India
ABSTRACT
Manuscript Type: Empirical. Research Question/Issue: The present paper attempts to analyze the level of disclosure on corporate governance practices among the biggest IT companies in India (in terms of exports as per Electronics and Computer Software Export Promotion Council (ESC) in the time period 2004-2005 to 2011-2012 and its effects on performance and profitability. Research Findings/Results: Using the survey of 6 IT companies with the Standard & Poor’s score card to assess the corporate governance disclosure practices of the companies as a benchmark. It is observed that among the sample IT companies, Infosys, Wipro, TCS and HCL scored high score i.e. more than 100 and Tech Mahindra and Mphasis scored low score i.e. less than 96 in corporate governance disclosure practices. Theoretical Implications: The results of the study support theoretical arguments that corporate governance disclosure increases performance. Practical Implications: A country’s government environment—especially legal and market infrastructure—highly affect the companies’ rate of disclosure which then increases profitability. To policy makers and practitioners, the results suggest that corporate governance should be monitored. Good legislation and a market environment that is free from corruption are essential for corporate governance disclosure to be efficient.

Cite this paper
Subramanyam, M. and Dasaraju, H. (2014) Corporate Governance and Disclosure Practices in Listed Information Technology (IT) Companies in India. Open Journal of Accounting, 3, 89-106. doi: 10.4236/ojacct.2014.34011.
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