Corporate governance is about the way that power is exercised over corporate entities. Poor corporate governance weakens a company’s development and paves the way for financial difficulties and fraud. By contrast, effective corporate governance strengthens foundation for integrity, efficiency, accountability, financial capability and the achievement of shareholder value creation. This subject provides an understanding and application of the best practices on how companies are directed and controlled. It also identifies the features and evaluates the effectiveness of the Hong Kong corporate governance system in protecting the interests of corporate members, shareholders, creditors and other stakeholders, to whom good corporate governance is important.