What is the primary purpose of the Revised Corporation Code of the Philippines?

The primary purpose of the Revised Corporation Code of the Philippines is to promote corporate governance. This is crucial because corporate governance involves the set of rules, practices, and processes by which corporations are directed and controlled. Effective corporate governance is essential for ensuring accountability, transparency, and fairness in the management of a company, which ultimately protects the interests of stakeholders including shareholders, employees, and the broader community.

By establishing clear guidelines and frameworks, the Revised Corporation Code aims to enhance the overall corporate structure and operations within the Philippines. This includes provisions for better board oversight, protection of minority shareholders, and mechanisms for addressing conflicts of interest, all of which contribute to a more robust business environment.

The other options, while relevant to aspects of corporate functionality, do not encapsulate the primary goal of this legislation. For instance, enhancing individual entrepreneurship and providing tax incentives are important but are not the main focus of the Revised Corporation Code. Similarly, limiting foreign ownership pertains to specific regulatory concerns rather than encapsulating the broader objectives of promoting good governance within corporations.