The article explores how corporate governance practices differ between banking firms and other industries, like manufacturing. By focusing on bank holding companies (BHCs), the researchers analyze governance variables and the impact of regulations on banking firm behavior. They find that traditional external governance mechanisms, such as hostile takeovers, are not as prevalent in the banking industry, leading to a greater emphasis on internal governance structures and shareholder block ownership. This study aims to provide insights for improving the governance of financial institutions through reforms and further research.