Corporate Governance on Brazilian Construction and Buildings Companies

Abstract

The study aimed to identify and describe corporate governance practices of Brazilian stock market listed companies from Construction and Building sectors and compare them to the recommendations of Brazilian Institute of Corporate Governance “best” practices code launched in 2015. It were identified which practices had been subjects both of the IBGC code and previous National and Internacional scientific researchs in Administration area reviewed by the theoretical reference section of the article. From quantitative approach, it was conducted a descriptive research with documental technique in order to verify if best practices were present or not among twenty companies from Construction and Building sectors. Among the corporate documents collected, there were codes of conducts, reference forms, and annual reports from the websites of the companies. It was concluded that Brazilian companies which belong to Construction and Buildings sectors have a positive level of information Disclosure and relation with independent audit firms, mainly after joining on São Paulo Stock Market’s special categories of corporate governance created in 2000. However, it was verified that Brazilian companies still have great challenges in order to achieve governance standards, considering their family-organization tradition and weak legislation to protect investors’ rights in the country, which have strong impacts on independency levels and longevity of mandates on the board of directors in general.

Keywords

• Governança Corporativa
• stakeholders
• disclosure