IPA IP 2026 Question 24
A question IPA Japan published in 令和8年度 ITパスポート試験 公開問題 問24, translated into English. ITPEC is based on the same exams.
Which of the following is an appropriate explanation of corporate governance?
Explanation
A framework, centred on monitoring and supervision of management by shareholders and other stakeholders, that keeps corporate activities in check — corporate governance.
Management runs the company on the owners' behalf, so governance makes it accountable to them: outside directors on the board, auditors and audit committees, information disclosure and shareholder voting all let stakeholders watch and correct how the executives run the business. The aim is sound, transparent management and the prevention of misconduct.
Answer (a)
Why not others:
- •(b) — raising the capital a company needs is financing (fund procurement), part of financial management
- •(c) — expressing the company's philosophy through a unified image and design to raise brand value is CI (corporate identity)
- •(d) — unique skills or technologies that competitors cannot match are core competence
Key rule: Corporate governance is about who oversees management and how; CI is about the company's image, core competence about its strengths, financing about its money.
Corporate Activities · AI-written, may contain errors
This question comes from the past questions IPA Japan publishes, translated into English by ITPEC Practice. ITPEC Practice is an independent study tool and is not affiliated with IPA or ITPEC. See the original paper (PDF) or Report an issue.