Advantages and Disadvantages

1 ACCT 6013 Corporate Governance for Managers Assessment Three Due Date: 11pm on Tuesday 17 August 2021 Weight: 40% Word limit: 1000 words (minimum 950 words, maxim um 1050 words) Case study: Amazon: president, CEO, and chair Amazon was started by Jeff Bezos as an online books eller from his home in Seattle, Washington State. He had previously been vice-presi dent of a Wall Street firm. In July 1994, Bezos incorporated a company in the US state of Was hington called Cadabra (from the conjuring phrase ‘abracadabra’). A year later, he i ncorporated Amazon in the state of Delaware, a state with friendlier companies legisla tion and company courts. The Cadabra business was backed into the new company. Amazon then diversified with CDs, videos, and softw are, adding the downloading and streaming of film, and Kindles and other e-readers when the technology became available. But Amazon’s great strength lay in its mastery of c loud computing, allowing it to offer infrastructure worldwide with merchandising platfor ms for its own and other companies’ products. Amazon provides several websites in the U SA, and others in Australia, Brazil, France, Germany, Holland, India, Japan, and elsewhere. Amaz on is the largest retailer in the United States, by market capitalization, having over-taken Walmart since 2015. Corporate governance at Amazon Amazon’s website has a lot of corporate governance information on its investor relations home page including:  financial reports;  SEC filings;  shareholder letters (including the founder’s commen ts on corporate philosophy and policies);  press releases on investor matters;  shareholder webcasts and a webcast archive.  The founder and other owners connected with him mai ntain their control over the company with a class of shares that have dominant v oting rights.  The board has twelve members and three standing com mittees:  audit committee;  nominating and corporate governance committees;  leadership development and compensation committee. More information is available from the website: https://www.aboutamazon.com/about- us/leadership-principles