ABSTRACT
This chapter provides a background for the discussion, which will follow in the rest of the book. It examines the nature of the agency problem and agency costs which exists in corporations. It situates the agency problem as the central concern of corporate law, necessitating the need for legal strategies to align the interests of managers with those of shareholders in the company. It then examines the different legal strategies which have been developed over the years to reduce agency costs within the company. Following these preliminary discussions, the chapter sets out the aim and scope of the book as well as the key research questions it seeks to address. Finally, it ends by providing a chapter-by-chapter overview of the book.
