Scope and Limitations

The study will be conducted to determine the effect of corporate governance practices on
financial performance and firm size to be able to establish a framework for indicators of good
corporate governance practices. The study will focus on a publicly listed Philippines banks listed
on the Philippine Stock Exchange (PSE).
Information on corporate governance practices will be restricted by considerations of data
access of corporate governance reports for the year 2015 in the measurement of corporate
governance compliance. In addition, data with respect to these practices will be secured from
publicly available data.
The firm size and performance of the research subjects will be determined using
secondary data, which consists of the annual report of the companies. Also, it will be only
limited to publicly available data published by the companies online and the calculations
performed on the data generated without actual experimentation or field research.
Thus, in establishing the correlation between financial performance, size, and corporate
governance, data sources will be limited to secondary data from 2015. In addition, the
researchers also admit the existence of other relevant information that can better determine the
relationship being studied. Nevertheless, the researchers will be examining every detail of this
study to mitigate these scope and limitations aforementioned.

Lastly, the researchers consider the possibility that the framework for indicators of good
corporate governance practices, which will be the final output of the study, may be subject to
limitations on prior procedures of the study. In addition, the researchers recognize that the
companies that will be used for creating the framework of indicators of good corporate
governance, which will be the final synthesis of the study, might not be the representative of the
whole industry.