DOES FOREIGN CORPORATE GOVERNANCE INFLUENCE PERFORMANCES? - THE CASE OF ROMANIAN BANKING SYSTEM

The purpose of our empirical study is to investigate the relationship between foreign ownership and board of directors, and performances in Romanian banking system. The research methodology is based on econometric analysis using various statistical tools (descriptive statistic, correlations and regressions). To reach to a conclusion, we tried to identify the degree of correlation between dependent and independent variables and to create a function of regression to express the influence of each considered factor over banks' performances. The results of the performed analysis show that the characteristic considered for both ownership and board of directors have a positive significant influence over banks' performances The paper has some limitations, too, because there might be other factors closely related to the board of banks and their ownership that were not analyzed in this study and might also be behind the positive empirical association established.