Durham University
Programme and Module Handbook

Undergraduate Programme and Module Handbook 2022-2023 (archived)

Module ECON3441: Corporate Governance

Department: Economics

ECON3441: Corporate Governance

Type Tied Level 3 Credits 20 Availability Available in 2022/23 Module Cap None. Location Durham
Tied to NN12
Tied to N205
Tied to N208
Tied to N201
Tied to N203
Tied to N207
Tied to N500
Tied to N506
Tied to N508
Tied to N501
Tied to N505
Tied to N507
Tied to N509
Tied to N510
Tied to N511
Tied to NN43
Tied to N302
Tied to N304
Tied to NN42
Tied to N204
Tied to N206
Tied to N305
Tied to N306
Tied to N307
Tied to LL01
Tied to LL02
Tied to L112
Tied to L117
Tied to L116
Tied to L115
Tied to L105
Tied to L104
Tied to L103
Tied to L1R1
Tied to L109
Tied to L106
Tied to L100

Prerequisites

  • None.

Corequisites

  • None.

Excluded Combination of Modules

  • None.

Aims

  • The module aims to enable students to develop:
  • their understanding of internal and external corporate mechanisms and their impact on principal-agent relationships as well as the efficient use of corporate, social and environmental resources and sustainability. As both internal and external corporate governance mechanisms are explored, the module builds on the student's knowledge gained during their previous studies.
  • a critical appreciation of the interdependence between internal and external corporate governance mechanisms.
  • skills in the application of institutional economic theories to aid the analysis of corporate governance both at the level of individual organisations and economic systems.
  • a critical understanding of reasons for and consequences of international differences in corporate governance systems.

Content

  • New Institutional Economic Theory (especially Principal-Agent Theory, Property Rights Theory, Resource Dependence Theory, Stakeholder Theory) as an instrument to analyse corporate governance structures.
  • The role of the board of directors, and the shareholders’ general meeting in the governance of companies.
  • The rationale for and impact of codes of best practice for corporate governance.
  • The impact of financial markets and investor behaviour on corporate governance.
  • International differences in systems of corporate governance.

Learning Outcomes

Subject-specific Knowledge:
  • To have a critical appreciation of the role and the development of corporate governance, including an awareness of international differences in systems of corporate governance.
  • To be able to critically analyse the impact of corporate governance structures on principal-agent problems and the efficient use of corporate, social and environmental resources.
Subject-specific Skills:
  • Ability to apply institutional economic theories to the analysis of corporate governance mechanisms.
  • Ability to analyse interdependence between corporate governance and corporate finance with the help of institutional economic and financial theories.
Key Skills:
  • Group working skills
  • Interpersonal and Written Communication - communicating ideas in the exam and formative assessments.
  • Planning, Organisation and Time Management - e.g. by preparing for examinations, seminars and managing group work.
  • Problem Solving and Analysis - by applying the necessary analytical skills, as well as the ability to apply concepts in corporate governance, in undertaking assessed work.

Modes of Teaching, Learning and Assessment and how these contribute to the learning outcomes of the module

  • Teaching is by lectures, seminars and formative feedback. Learning takes place through attendance at lectures, preparation for and participation in seminars, group work and private study.
  • Formative assessments guide students in the development of their knowledge and skills. They also support students' continuous engagement in learning throughout the module.
  • Summative assessment is by means of a written exam.

Teaching Methods and Learning Hours

Activity Number Frequency Duration Total/Hours
Lectures 20 1 per week 1 hour 20
Revision Lecture 2 1 per week in term 3 1 hour 2
Seminars 8 4 in term 1. 4 in term 2 1 hour 8
Preparation and Reading 170
Total 200

Summative Assessment

Component: Examination Component Weighting: 100%
Element Length / duration Element Weighting Resit Opportunity
One written examination 3 hours 100%

Formative Assessment:

Participation in regular formative assessments throughout the module.


Attendance at all activities marked with this symbol will be monitored. Students who fail to attend these activities, or to complete the summative or formative assessment specified above, will be subject to the procedures defined in the University's General Regulation V, and may be required to leave the University