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Developing Codes of Conduct: Regulatory Conversations as Means for Detecting Institutional Change

Jonnergård, Karin LU (2007) In Law & Policy 29(4). p.460-492
Abstract
The introduction of a new corporate governance code in Sweden, modeled after prevailing Anglo-Saxon norms of corporate governance, offers the opportunity to investigate global regulatory convergence. Using the metaphor of regulatory space, this article analyzes the positions of the parties who submitted formal responses to the introduction of "The Swedish Code of Corporate Governance-A Proposal from the Code Group." While the globalization of financial markets might forecast unconditional acceptance of the proposed code by business and financial interests, the analysis of who made comments, and what was said, reveals three categorically distinct groups: Swedish business "insiders" connected to the existing institutional framework who... (More)
The introduction of a new corporate governance code in Sweden, modeled after prevailing Anglo-Saxon norms of corporate governance, offers the opportunity to investigate global regulatory convergence. Using the metaphor of regulatory space, this article analyzes the positions of the parties who submitted formal responses to the introduction of "The Swedish Code of Corporate Governance-A Proposal from the Code Group." While the globalization of financial markets might forecast unconditional acceptance of the proposed code by business and financial interests, the analysis of who made comments, and what was said, reveals three categorically distinct groups: Swedish business "insiders" connected to the existing institutional framework who opposed changes that would erode traditional division of functions, including collective responsibility for the actions of company boards; "outsiders" (i.e., foreign investors and more marginal Swedish investors) aligned with Anglo-Saxon internationalization of the markets who would change the system of corporate accountability; and the professions (i.e., auditors), who advocated for their professional interests. Of the three groups, Swedish business insiders were most successful in gaining support for their positions. Although international financial and political interests were key to the introduction of the Code in the first place, the article demonstrates how the dynamics of national (local) culture and power structures influence the transfer of regulatory law across jurisdictions. (Less)
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author
organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
corporate governance, code of conduct, regulatory conversations, regulatory space, Sweden
in
Law & Policy
volume
29
issue
4
pages
460 - 492
publisher
Wiley-Blackwell
external identifiers
  • Scopus:34648823379
ISSN
0265-8240
language
English
LU publication?
yes
id
b44d97ab-2711-4f59-ab50-5374a179835e (old id 1385330)
date added to LUP
2009-04-20 12:27:17
date last changed
2016-10-13 04:50:50
@misc{b44d97ab-2711-4f59-ab50-5374a179835e,
  abstract     = {The introduction of a new corporate governance code in Sweden, modeled after prevailing Anglo-Saxon norms of corporate governance, offers the opportunity to investigate global regulatory convergence. Using the metaphor of regulatory space, this article analyzes the positions of the parties who submitted formal responses to the introduction of "The Swedish Code of Corporate Governance-A Proposal from the Code Group." While the globalization of financial markets might forecast unconditional acceptance of the proposed code by business and financial interests, the analysis of who made comments, and what was said, reveals three categorically distinct groups: Swedish business "insiders" connected to the existing institutional framework who opposed changes that would erode traditional division of functions, including collective responsibility for the actions of company boards; "outsiders" (i.e., foreign investors and more marginal Swedish investors) aligned with Anglo-Saxon internationalization of the markets who would change the system of corporate accountability; and the professions (i.e., auditors), who advocated for their professional interests. Of the three groups, Swedish business insiders were most successful in gaining support for their positions. Although international financial and political interests were key to the introduction of the Code in the first place, the article demonstrates how the dynamics of national (local) culture and power structures influence the transfer of regulatory law across jurisdictions.},
  author       = {Jonnergård, Karin},
  issn         = {0265-8240},
  keyword      = {corporate governance,code of conduct,regulatory conversations,regulatory space,Sweden},
  language     = {eng},
  number       = {4},
  pages        = {460--492},
  publisher    = {ARRAY(0x79c0108)},
  series       = {Law & Policy},
  title        = {Developing Codes of Conduct: Regulatory Conversations as Means for Detecting Institutional Change},
  volume       = {29},
  year         = {2007},
}