Comprehensive research on corporate disclosure theory

Abstract

Incorporating the dynamics of capital markets into the driving force, starting from comparable ESG (environmental, social and governance) information, will contribute to the circulation of the ecosystem that connects business and a sustainable society. Professor Nobuhito Ochi, Department of Policy Studies, Shobi University, Japan, is deepening research toward the realization of an ESG ecosystem, with a basic perspective of improving market discipline for corporate activities related to ESG and leveraging the improvement of comparability of non-financial information. Ochi's work comprehensively examines the externalities of social common capital held by modern society, and uses the thinking framework of incentive analysis as a methodological foundation, and aims to develop interdisciplinary disclosure theory to improve inefficiency caused by asymmetry of information. Measures that would contribute to the realization of social value under a framework that utilizes disclosure discipline, in order to draw out incentives for coping with the cause for externality control related to natural capital, social capital (culture and community) and institutional capital (finance and audit).<br/> Ochi is conducting research that involves looking at a broad range of corporate activities surrounding disclosure theory, ESG and AI, including lead companies to an ideal ESG information disclosure process through the utilization of AI. This work includes looking at how companies can buffer communities from the negative aspects of a corporation's activities and exploring the disclosure of information including social, natural and institutional capital. Ochi has presented a theory of corporate disclosure and a theory of assurance of non-financial information that allows for better control of costs and benefits that are social common capital rather than financial capital. The theory operates under a framework that uses the discipline of disclosure and contributes to the realization of social value and, ultimately, Ochi is seeking to help build a financial and economical society that contributes to societal wellbeing.