Multi-level analysis on determinants of sustainability disclosure: a survey of academic literature

Abstract

PurposeThis study uses a multi-level framework to systematically summarize and synthesize the empirical literature on determinants of sustainability disclosure.Design/methodology/approachThis review study is based on 159 empirical studies examining determinants of sustainability disclosure and published in Charted Association of Business Schools (CABS) ranked journals over the last 40 years.FindingsCompanies are experiencing multi-level pressures for sustainability disclosure. Macro-level variables include political, legal, social-cultural and international pressures. Meso-level factors include customers' concerns, shareholders’ and investors' demands, industry-level variables and media coverage. Micro-level factors include the firm-level governance mechanisms, executives' reporting attitude and role of sustainability promoting institutions. Unlike in developed markets, companies in developing markets feel minimal public pressure for sustainability disclosure but rather are influenced by international NGOs, the media and international buyers. Multi-level and multitude of pressures for sustainability disclosure explains the widely observed differences between studies.Originality/valueThis research presents the most extensive systematic review of the extant sustainability disclosure literature and is the first study to group determinants into micro-, meso- and macro-level components using multi-level analysis.