The strategies employed in an organization are the personification and characterization of its higher management. The culture of an organization represents its values, beliefs and ethics, which come from the shared vision of its management. Ethically and socially responsible managements can practice good governance or implement the code of corporate governance in organizations. Business schools, as suppliers of business managers, can produce well-trained and ethically responsible managers, who ensure implementation of best practices of corporate governance in organizations. The researchers assume that corporate governance is not easily transferable between corporations. Teaching corporate governance to business graduates can help develop the culture of corporate governance in organizations in Pakistan. The article analyzes the current situation of business school courses in the context of corporate governance and explores the scope of including corporate governance in the courses of business schools in Pakistan. The researchers conducted qualitative and quantitative surveys of business schools of Lahore in Pakistan which explains the existing situation.

Corporate governance system is based on certain institutions like laws, contracts, norms and regulations that create self-governing system in the organization. This compliance-oriented program has become the central element of today's competitive market economy. Such kind of regulations and institutions ensure the implementation of internal corporate governance procedures and make the management responsible to the shareholders/owners and other stakeholders. In a good corporate governance system, managers take decisions by making the process very transparent, digestible and conducive to direct the resources in which they ensure the accountability, accuracy, timeliness, and use the powers effectively in an accountable way. Corporate governance comprehends the structure of relationship and corresponding responsibilities among the core group consisting of shareholders, board members and corporate managers designed to best foster the competitive performance that is required to achieve the corporation's primary objectives.

The developing scenario of globalization in the economy has forced the large companies to approach capital markets all over the world. This situation brings to the economy greater risk, abuse and fraud - sometimes on a global scale - and ultimately leads to a greater awareness of inadequacies of governance, and demand for new reforms, new models of operation and re-evaluation of systems (Gerald Vinten, 2000). Scandals in Enron, WorldCom, Tyco and Adelphia Communications and in others part of world provide sources to the evolution of many new concepts like corporate governance, corporate responsibility, corporate citizenship and social responsibility.