The Purpose and Structure of the Book

This introductory chapter starts by discussing the motivation for writing the book, which is that although Germany is often cited as the most prominent example of a country with a bank-based – as opposed to a market-oriented financial system – there has, until now, been no account of the many developments and changes that have occurred in the financial architecture of the country. Next, it summarises the questions to be asked from the modern literature on the development and design of financial systems. An outline is then given of the structure of the book, which is divided into four parts that (I) give an introduction to and overview of financial systems and the German financial system in particular (2 chapters), (II) look at the German financial sector and German corporate finance (7 chapters), (III) focus on regulation and corporate governance in Germany (5 chapters), and (IV) based on the previous chapters, take stock and look ahead (1 chapter). The final section outlines the appropriate audiences for the book.