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Review article

https://doi.org/10.22598/iele.2020.7.2.6

THE CZECH REPUBLIC AS MARKET LEADER IN SOCIETAS EUROPAEA: HOW SUSTAINABLE ARE THE DRIVING FORCES?

Jan Lasák ; Palacký University Olomouc, Faculty of Law, Olomouc, Czech Republic


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Abstract

Over time, the Czech Republic has become a clear market leader in SE incorporations. For instance, in 2012, more than 55% of all Societas Europaeas were incorporated in the Czech Republic. In recent years, the number of SE incorporations has always been substantial in the Czech Republic, which has created an interesting puzzle for both academics and practitioners. In previous research, a three-level structure of Czech SEs was identified – (i) operating SEs, (ii) “UFO SEs” and (iii) Shelf SEs. In a follow-up study prepared by Lasak and Eidenmueller, several corporate governance elements were identified as forces driving SE incorporations in the Czech Republic. My paper analyses these driving forces in the light of the development of Czech corporate governance and evaluates how sustainable these drivers for market leadership of the Czech Republic in terms of Czech SE incorporations are in the light of the recodification of Czech private law, which came into effect on 1 January 2014 and which significantly affected the motives behind the large boom in the number of SEs in the Czech Republic between 2004 and 2011/2012.

Keywords

Societas Europaea; sustainability; corporate governance; regulatory arbitrage

Hrčak ID:

250345

URI

https://hrcak.srce.hr/250345

Publication date:

31.12.2020.

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