The purpose of this study is to investigate and explore the impact of corporate governance on financial performance using qualitative data analysis. Given their strategic role, board members can provide valuable insights as to how corporate governance influences a company’s financial performance.
This study employed semi-structured telephonic interviews for data collection. The snowball sampling method was utilized during the data collection process. The final sample for the qualitative study comprised 32 board members. All interviews were conducted over the phone and subsequently transcribed in Microsoft Word. NVivo 12 software was used for data analysis.
The findings indicate that board size depends on the size of the business and its operations. Respondents noted that the independence of board members is also a crucial element of corporate governance and positively influences company performance. The results further reveal that institutional and foreign shareholding patterns impact financial performance.
A limitation of the study is the “sample size.” A larger sample may provide deeper insights into corporate governance issues. Future research can employ alternative data collection and analysis methods, such as surveys or focus-group discussions, and consider incorporating additional variables.
Ample literature exists on the association between corporate governance and financial performance, primarily using secondary data and quantitative data analysis techniques. However, primary data and qualitative data analysis have been largely overlooked in the existing research. This study contributes to the body of knowledge by employing a qualitative approach, generating themes to illustrate the impact of corporate governance on financial performance.
