This paper identifies the essential characteristics of a civilized corporate governance system within Iran's capital market, using the multi-criteria decision-making (MCDM) method, specifically polar matrix analysis. The goal of this research is to aid policymakers, corporate boards, and regulatory bodies in creating customized governance frameworks. The study emphasizes the significance of understanding and applying governance practices suited for emerging markets like Iran, contrasting these with established models in markets such as the US and Europe. Conducted between 2018-2022, the study uses a meta-composite analysis process to explore governance practices tailored to this emerging market, recognizing significant differences from established markets like the US or Europe. The analysis follows a three-step procedure. First, qualitative analysis identifies six key characteristics essential for an effective governance structure. In the second step, descriptive ranking evaluates the effectiveness of existing systems in Iran's capital market, revealing that among the six identified characteristics, adhocracy demonstrates the highest effectiveness percentage. Finally, quantitative analysis assesses the strengths and weaknesses of Iran's civilized corporate governance systems. This comprehensive approach provides a nuanced understanding of governance practices that align with the unique attributes of Iran's capital market, contributing to the development of localized, robust governance frameworks. • Identifies the key dimensions of civilized corporate governance. • Applies MCDM techniques to evaluate governance structures. • Integrates expert judgment with quantitative decision-making models. • Provides a structured framework for governance assessment.
Khanfari et al. (Wed,) studied this question.