Motivation for disclosure of corporate social responsibility: evidence from banking industry in Indonesia

Abstract

This research aims to investigate determining factors that influence corporate social responsibility disclosure (CSR disclosure) by examining the effects of company size, profitability, leverage, public ownership, board of commissioner, independent commissioner, and the size of the audit committee. For this study, the samples are banking firms that are listed in Indonesian Stock Exchange between the year 2010-2014. The data were extracted from audited financial reports, and sustainability reports (if available). Quantitative using secondary data. Multiple regression is the analysis performed. Results from this study showed that profitability, public ownership, board of commissioner, and independent commissioner has a positive impact towards corporate social responsibility disclosure, whilst leverage and audit committee negatively affected the company. Furthermore, there was not enough evidence to prove that the size of the company is affecting companies to disclose their corporate social responsibility activities.

Does context matter for sustainability disclosure? Institutional factors in Southeast Asia

“…Nevertheless, as institutional environments are dynamic and complex (Ali, Frynas, & Mahmood, 2017;Gallén & Peraita, 2018), any research examining their influences upon SD requires a comparative approach. Present SD studies conducted in the SEA region in this regard however, has been dominated by single country case studies (See Hermawan & Gunardi, 2019;Hu & Loh, 2018;Janggu et al, 2014;Zahid et al, 2016).…”

“…For instance, countries in the South East Asia (SEA), a sub-region in Asia, which has diverse socioeconomic issues, ranging from poverty, climate change, to human rights violations, child labour, and corruption (Belal, Cooper, & Roberts, 2013) have proactively undertaken institutional reforms to influence corporate sustainability practices (Srinivasan, 2011). Nevertheless, as extant research examining institutional influences on corporate sustainability in non-western regions, is limited to single country studies (See Hermawan & Gunardi, 2019;Hu & Loh, 2018;Janggu, Darus, Zain, & Sawani, 2014;Zahid, Ghazali, & Rahman, 2016), we do not have a comparative cross-country level understanding of how country-level institutional influences could differ between countries within a non-western region (Fifka & Drabble, 2012;Vashchenko, 2017), and how those influences could engender corporate sustainability practices, specifically that of sustainability disclosure (SD) in that region (Patten & Shin, 2019;Tilt, 2016).…”

Social Responsibility, an Essential Strategic Option for a Sustainable Development in the Field of Bio-Economy

“…Based on a careful analysis of the literature of the last decades, we have discovered a paradox manifested in the international business environment in the field of bio-economy (Solesvik, 2017;Lisin et al, 2018;Hermawan and Gunardi, 2019). On the one hand, we can note a concentration of the economic development, in general, in different states and regions in the field of bio-economy, and on the other hand a segmentation of the international and regional markets can be observed in this field (Ararat, 2018;Liu et al, 2018).…”

Forecasting the Environmental, Social, and Governance Rating of Firms by Using Corporate Financial Performance Variables: A Rough Set Approach

“…The second group focuses on how to allocate resources to achieve long-term social goals by creating competitive advantages [9][10][11]. Finally, the third group proposes that the objective of CSR is to broaden the effects of marketing [12][13][14].…”