COMPARISON OF THE APPRAISEMENT AND APPLICATION OF CORPORATE GOVERNANCE PRINCIPLES IN TURKISH SMES

Abstract

Purpose The purpose of this study is to examine how the level of appraisement and application of corporate governance principles differ in manufacturing and service SMEs in Turkish context. Design/methodology/approach A t-test has been administered to explore whether there is a difference between owners/managers` appraisement of corporate governance principles and the level of application in their firms. Findings Our findings indicate that while the level of usefulness of these principles has been rated high by owners/managers, application level has been found relatively lower and there is a statistically significant difference. Practical implications Corporate strategy issues are raised, as the level of application has been found relatively lower compared with appraisel of corporate governance principles. Originality/value This study provides preliminary findings on the difference between appraisement and application of corporate governance principles of decision makers in Turkish context.