Evaluating Corporate Governance in Albania: A Comparative Study of Board of Directors, Mechanisms and Managerial Practices

Esmir Demaj – EPOKA University, Rr. Tirane-Rinas km.12, 1032, Tirana, Albania

Mirsa Dani – EPOKA University, Rr. Tirane-Rinas km.12, 1032, Tirana, Albania

Abstract: Corporate governance has become a critical issue globally, facing increasing scrutiny from regulators, investors, and the public, particularly in rapidly developing nations. This study examines corporate governance in Albania, focusing on board practices, challenges, and areas for improvement. Using a mixed-methods approach, it analyzes corporate governance through secondary data from annual reports and financial statements of the top 29 companies by income, alongside exploratory qualitative insights from inter- views with key corporate stakeholders. Findings reveal a varied landscape, while some firms demonstrate effective governance, others face challenges like conflicts of interest, lack of board independence, and inadequate disclosure. Key improvement areas include stronger regulatory frameworks, more diverse boards, and increased share- holder engagement. This research contributes to the limited literature on the corporate governance domain in Albania, offering insights into the local context as well as serv- ing as a foundation for future studies and initiatives to enhance governance standards, fostering a corporate culture of transparency, accountability, and stakeholder protection.

10th International Scientific Conference ERAZ 2024 – Conference Proceedings: KNOWLEDGE BASED SUSTAINABLE DEVELOPMENT,  hybrid – online, virtually and in person, Lisbon, Portugal, June 6, 2024

ERAZ Conference Proceedings published by: Association of Economists and Managers of the Balkans – Belgrade, Serbia

ERAZ conference partners: Faculty of Logistics, University of Maribor, Maribor (Slovenia); University of National and World Economy – UNWE, Sofia (Bulgaria); Center for Political Research and Documentation (KEPET), Research Laboratory of the Department of Political Science of University of Crete (Greece); Institute of Public Finance – Zagreb (Croatia); Faculty of Tourism and Hospitality Ohrid, University of St. Kliment Ohridski from Bitola (North Macedonia)

ERAZ Conference 2024 Conference Proceedings: ISBN 978-86-80194-86-8, ISSN 2683-5568,

DOI: https://doi.org/10.31410/ERAZ.2024

Creative Commons Non Commercial CC BY-NC: This article is distributed under the terms of the Creative Commons Attribution-Non-Commercial 4.0 License (https://creativecommons.org/licenses/by-nc/4.0/) which permits non-commercial use, reproduction and distribution of the work without further permission. 

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