further plays a crucial role in making policies and practices. Such as it help organisation in making laws based on corporate legislation, securities regulators, decisions of courts, securities laws and policies etc., As a result, following laws will help company with numerous benefits such as high performance of Board of Directors, better managed risks, strong internal controls with accountable management, well monitored and better performance.
In terms of best practice with the help of Corporate Governance, if it is followed effectively than board of directors can identify the gaps in context with ideal qualities employees have with them. Other than this, better training can be provided existing skills and knowledge of employees can be enhanced. Along with this, through Corporate Governance, certain roles and responsibilities of an individual are defined such as role of sub-group of directors committee will include functions like compensation, nominating, audit etc., Another practices which can be undertaken in Corporate Governance is that it helps in evaluating performance so that effective decisions regarding compensation that is required to be given can be made. While operating business there can be many risk that can face by companies so, Corporate Governance helps in making effective risk management plan with the help of establishing strategic leadership. Thus, managers are accountable for managing risk and monitoring the same so that effective decision can be made. Along with this, directors have an overview and show their responsibility of determining short-term as well as long-term goals and possible risk that can be faced by companies.
2.2 Relationship between stakeholder relationship and financial performance of business
According to de França, Pereira and Vieira, (2018) the organization is also planning a strategy for acting different role on internally and also select the suitable strategy for growth or development. It is a process and task that involves facts and figure at their workplace for executing stratagem or support to the employee related their job. Sometimes, the organization is planning for strategy related the formulation but its fail for implementing the changes in operations. Stakeholders are the most important part of any organisation as they are having power to impact decision making process within company and ultimately impacting financial performance as well. The relationship of stakeholders are unique in their ability to help firms to get their performance better.
2.3 Strategies can be implemented to improve CG practices in Marks and Spencer
According to Bell, Bryman and Harley, (2018) an organization must be accurately collecting data in the form of report to identify their profits or losses. It makes sure to figure out that those who invest money in the organization. Sometimes, the lack of transparency expose the fines from the regulatory agencies in the organization. Issues and problem arises when corporate governance fails to perform it activities in an effective manner. For instance: with Marks and Spencer, Stakeholders are pulling their hand from the company and this is happening because of re-structuring of M&S as a result, firm ultimately faced huge loss. Therefore, Marks and Spencer, must make strategies for their organisation that can be implemented in order to enhance Corporate Governances within the company. Some of them are explained below for better understanding:
Increase diversity: Marks and Spencer is facing lack of diversity in terms of effective stakeholders and experienced employees. Because of the least interest of Stakeholders, expected sales get down by 1.5 percent large in the sector of clothing. Therefore, it is important that Marks and Spencer includes people who can manage and handle different activities
CHAPTER 3: RESEARCH METHODOLOGY
Research methodology will concept that used by researcher for collecting, analyzing and managing the data in appropriate manner. It will be helpful for selecting the suitable information that applicable in research areas.
Primary 