Purpose: The main purpose of this Literature Review (LR) is to summarize the existing research in the area of corporate governance practices in India. The present endeavour attempts to provide an LR on the most relevant contributions related to corporate governance and its impact on disclosure practices and the firm’s financial performance. Moreover, the researcher has intended to discuss the impact of various corporate governance variables and their efficacy in the Indian Corporate Sector.

Methodology: This LR is based on 90 peer-reviewed research papers from1996-2020. A brief overview of corporate governance and the rationale of the study has been discussed in the introductory part of this paper followed by LR covering a few variables around which existing research in the corporate governance domain is focussed.

Findings: The research outcomes presented in the LR mainly concluded that the results given by the studies covered reveal conflicting views. Several research studies have shown weaknesses in the existing legal framework for corporate governance mechanism in India however evidence support that the corporate governance framework has improved disclosure practices. Moreover, the board size, composition, ownership and duality have a significant impact on a firm’s performance which is found positive in most of the studies but negative in a few ones. A large number of studies revealed that corporate governance and a firm’s valuation, and financial performance are positively related however, few studies reveal negative relationship. Further, there are mixed findings showing the impact of ownership concentration and promoter ownership on a firm’s performance. Results confirm that an optimum stake of promoters in the ownership structure would improve the firm’s performance and disclosure practices.

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Keywords: Corporate Governance, Board of Directors, Ownership Structure, Literature Review.