Information Disclosure Research Articles

Climate change disclosure performance and audit fees: evidence from Australia

Purpose This study aims to examine the relationship between climate change disclosure performance (CCDP) and audit pricing. The moderating effect of corporate governance characteristics on that relationship is also investigated. Design/methodology/approach Using a sample of top 300 Australian Securities Exchange listed non-financial firms over the period 2008–2019, this study investigates the association between CCDP and audit fees. The findings are robust to a difference-in-difference test thereby alleviating potential endogeneity concerns. Findings CCDP is found to be significantly positively related to external auditor fees. Research limitations/implications The findings show some important implications for firm management, regulators, investors and auditors. This study presents empirical evidence that climate change, as a factor of external risk, influences audit fees. Practical implications Firms with governance structures characterized by larger more independent boards, larger audit committees and audit committees with a higher level of independence significantly moderate the relationship between CCDP and audit fees. Social implications Investors’ demand for firm transparency and disclosure of information regarding the risks of climate change, effects and opportunities has increased significantly over the past decade, as these factors could have a significant effect on valuation and investment decisions. Originality/value Importantly, stakeholders need to be aware of the costs of climate change, the quantification of climate change impacts and how firms address climate change in their business risk management processes. This study quantifies the impact of CCDP on auditor risk assessments via audit fees.

Traumatic dental injuries among children attending the public after-hours emergency dental clinic in Bergen, Norway.

To investigate traumatic dental injuries (TDIs) among children who for 1 year attended a Norwegian public after-hours emergency public dental (EPD) clinic. The study included 7-18-year-olds (n = 312) who presented at the EPD clinic, underwent a clinical dental examination, and consented to the disclosure of clinical information. Recording of TDIs was restricted to anterior permanent teeth. Potential TDI predictors were also analysed. Almost half (n = 148) of the children were assessed with TDIs in permanent teeth, showing a mean age of 11.0 (standard deviation [SD]: 3.5) years. Males constituted 54.7%. The children experienced TDIs often outside school hours (43.9%), and the majority (58.1%) were caused by falls/accidents. Sixty of them experienced only one TDI. The most common location was the maxillary central incisors. Assessment of TDIs according to severity, could only be done in 131 individuals, involving 253 TDIs. Of these, 81.8% were mild. The odds of visiting the emergency clinic for a TDI were higher (odds ratio [OR] = 2.64, confidence interval [CI]: 1.61-4.31) among children with previous TDIs and lower (OR = 0.28, CI: 0.12-0.68) among those with poor dental attendance. Traumatic dental injuries were a common reason for seeking emergency care. Milder injuries dominated and involved mostly one maxillary central incisor. Previous episodes of TDIs and attendance patterns seemed to be associated with seeking care for TDIs.

Corporate social responsibility and labor investment efficiency: evidence from China

PurposeWe expect to provide a complete theoretical framework and large sample evidence on the impact of corporate social responsibility (CSR) on the efficiency of labor investment. We also hope to provide micro-evidence based on labor investment behavior for the two-sided impact of corporate CSR behavior.Design/methodology/approachThis paper measures labor investment efficiency by estimating the difference between actual and expected net hiring of enterprises. CSR is measured on the basis of the CSR score of Chinese listed companies published by Hexun.com. A regression model is constructed to analyze the relationship between CSR and labor investment efficiency. Possible endogeneity problems are controlled by lagging independent variables, propensity score matching method and difference-in-difference method.FindingsResults show that CSR can improve labor investment efficiency by reducing over-hiring and under-hiring in emerging markets. The existence of the mediating effect of agency cost, information disclosure quality and employment fluctuation confirms that CSR improves labor investment efficiency through two mechanisms of corporate governance and labor market friction. The improvement effect of CSR on labor investment efficiency is more significant in non-state-owned, high CEO shareholding ratio and high-average urban wage enterprises.Originality/valueIn conclusion, our study is an important supplement to the existing research on the factors affecting labor investment efficiency. Our research conclusions will be helpful for enterprises in developing countries or enterprises in labor-intensive industries to improve labor investment inefficiency. The conclusion of the mechanism analysis in this paper provides more complete and reliable microscopic evidence for accurately identifying the specific path of CSR's impact on labor investment efficiency. This paper verifies the positive impact of CSR from the perspective of labor investment efficiency in the context of a developing country, which provides evidence for the theoretical conflicts related to CSR based on the effectiveness of enterprise labor investment decisions.

Public information disclosure practices and civic participation: The roles of social justice perceptions and internet use

This study examined the relationship between public information disclosure practices and civic participation and the roles of social justice perceptions and internet use in that relationship. Our data comes from the 2019 Chinese Social Survey (CSS, 2019), a large nationwide household survey across 31 provinces (autonomous regions and municipalities). To ensure data relevance to our main variables, we conducted screening, resulting in the retention of data from 9 621 participants (female= 56. 73%; mean age= 46.62 years, SD = 14.22 years). The results indicated that public information disclosure practices were associated with higher levels of civic participation. Specifically, public information disclosure practices positively affected institutional civic participation and negatively affected non-institutional civic participation. Moreover, citizens’ perception of social justice indirectly mediated civic participation. Internet use moderated the relationship between public information disclosure practices and the perception of social justice. These findings underscore the importance of types of public information disclosures in routine civil society governance. By implication, public information disclosures are tools for empowered civic participation with social justice.

Analysis of the Board Oversight and Accountability Mechanism under UK Company Law

This paper focuses on the legal framework and the effectiveness of the board oversight and accountability mechanism within UK company law, highlighting its importance and challenges in ensuring sustainable corporate development and protecting investor interests. UK company law aims to protect stakeholders by regulating directors' behaviour, addressing issues such as conflicts of interest and inadequate information disclosure that hinder effective supervision. As remedies, this study suggests enhancing training for board members, improving information disclosure, and incorporating independent directors to mitigate conflicts of interest and increase oversight transparency and efficiency. Through case analysis, this paper further explicates the implementation outcomes and challenges faced, providing references for corporate governance improvement. Ultimately, the research underscores that refining the oversight and accountability mechanisms is crucial to elevate corporate governance standards, fostering long-term corporate prosperity.

Industry sector’s influence on the narratives in environmental disclosures in the opinion of reports preparers. Evidence from Poland

The narrative phenomenon in accounting concerns, i.e., the disclosure of environmental information and the impression management of stakeholders. The study examines and assesses the dependence between the company’s industry of activity and the narration perception adopted by the preparers of environmental reports, in particular, the impression management techniques used. To achieve the purpose of the article, an in-depth survey was conducted covering a non-random sample of the employees of Polish enterprises involved in the preparation and reporting of environmental information. Contingency tables and association measures for categorical variables were used in the statistical analysis of the survey data. The analysis results of the collected empirical data confirmed that the company’s industry of activity impacts the way report preparers evaluate the scope and apply narrative strategies, especially impression management techniques. The research expands knowledge on the perception of the importance of environmental disclosures and the issue of environmental narrative practices from an enterprise perspective. The results of the analysis indicated a level of pro-environmental awareness and confirmed the knowledge of narrative strategies and techniques. This study contributes to the discussion on the effects of environmental narrative in accounting, offering yet another element of the current practice diagnosis in this area in Poland.

Can Environmental Information Disclosure Improve Energy Efficiency in Manufacturing? Evidence from Chinese Enterprises

Improving the energy efficiency of enterprises is one of the key means to solve the problem of energy shortage. It is of great significance to investigate how environmental information disclosure (EDI) promotes the green total factor energy efficiency (GTFEE) of enterprises. Based on this, this study calculates the GTFEE of enterprises by combining the database of Chinese manufacturing and the pollutant emission of industrial enterprises and investigates the impact of EDI on the GTFEE of manufacturing industries by using a difference-in-difference model. The following is found: (1) EDI can significantly promote the manufacturing enterprises’ GTFEE, and the results are still valid after a series of robustness tests; (2) Mechanism analysis shows that EDI can improve the GTFEE of manufacturing enterprises by promoting technological innovation and optimizing energy structure; (3) The heterogeneity analysis shows that EID is more positive on firms’ GTFEE in the eastern than western regions. The positive impact is greater for non-state-owned, low-energy consumption, export, and polluting enterprises. The findings of this paper provide a theoretical basis and practical enlightenment for the government to promote the green development transformation of enterprises.

Experiences of Caregivers in Disclosing HIV Status to Children Infected with HIV in Mopani District, South Africa

Background Caregivers are confronted with difficulties in determining the ideal period to initiate HIV disclosure to the child infected with HIV. Moreover, caregivers are uncertain about how to facilitate the HIV disclosure process, and opportunities to start the discussion are frequently missed until a later stage. Caregivers often fear that the child will be affected psychologically and have poor cognitive ability to comprehend the nature of the illness. Objective The objective of the study is to explore and describe the experiences of primary caregivers regarding HIV disclosure to children infected with HIV. Methods A qualitative, explorative, and descriptive study was conducted at 4 selected ART facilities in the Mopani district. Where face-to-face semi-structured interviews were conducted until data saturation with 16 primary caregivers. Data was analysed and coded using the ATLAS.ti 9 program, according to the thematic method of analysis. Results Analysis of data identified three main themes that described the experience of caregivers regarding HIV disclosure in children, which are cues to disclose HIV status to children, experiences of the event of HIV status disclosure to children, and caregiver’s experiences of healthcare providers’ role in HIV disclosure process. Conclusion Caregivers revealed that they initiated the HIV disclosure process to the children because of their personal and child-related factors. However, they perceived HIV disclosure as a difficult process to initiate, because of lack of skills, knowledge, and support from healthcare providers. Caregivers perceived children as too young to receive HIV disclosure information and they feared that the child would react negatively.

Does internal control improve enterprise environmental, social, and governance information disclosure? Evidence from China

AbstractEnvironmental, social, and governance (ESG) is a relatively new concept that emphasizes how to contribute to creating sustainable businesses. However, research on factors that influence ESG development is insufficient. This study explores how internal control influence enterprise ESG information disclosure, using 2009–2021 data from China's A‐share listed companies. The findings show a substantial positive correlation between internal control quality and corporate ESG information disclosure. Particularly, the internal control quality significantly affects corporate governance information disclosure. Moreover, the connection between internal control quality and enterprise ESG information disclosure is significantly and positively moderated by media attention. Specifically, negative media evaluations have significant impacts on enterprises. The main findings remain valid even after conducting multiple robustness tests, such as the lag test, propensity score matching, instrumental variable method, and alternative measurements for the key variables. This study widens the theoretical research frontier of internal and external supervision mechanisms.

Information Seeking and Receiving of Older Adults with Diabetes in the Online Health Community: An Information Need Contextualization Perspective

ABSTRACT Online health communities (OHCs) are important online health communication channels for older adults with diabetes to access health information. When seeking health information, they often disclose a variety of contextual information (e.g., socio-economic situations) in their questions. Selective contextual information disclosure is a type of communication strategy for users in OHCs to elicit replies from others. In this study, we adopted text analysis to investigate what contextual information older adults with diabetes disclose to articulate their information needs and used the fixed-effect Poisson model to examine the relationships between different types of contextual information disclosure and informational support receipt. Our analyses were based on a dataset of 4,505 questions and corresponding replies from an online diabetes community. The results showed that cognitive information is the most frequently disclosed contextual information, while older adults tend to disclose demographic information in their questions less. Providing demographic and situational details in questions can enhance informational support receiving, resulting in an increased number of informational supports. However, disclosing cognitive, affective, informational channels, or support information does not significantly affect the informational support receiving. These findings can contribute to extending our existing understanding of information seekers’ communication strategies in OHCs.

The Optimization Path of Cash Flow Statement Presentation in China

Cash flow is the lifeline of an enterprise. At present, there are deficiencies in China's current cash flow statement classification presentation. This article aims to explore the optimization path of China's cash flow statement presentation. First of all, the article analyzes the deficiencies of the current cash flow statement presentation, including the structure is not reasonable enough and the information disclosure is not comprehensive enough. Subsequently, it puts forward targeted optimization suggestions, including maintaining the internal consistency of the statements, strengthening the transparency and accuracy of information disclosure, and promoting convergence with IFRS. Optimizing the presentation of the statement of cash flows can help improve the readability and usefulness of the financial statements, provide investors, creditors, and other stakeholders with more comprehensive and accurate corporate financial information, and promote the healthy development of the capital market.

Money matters: a critique of 'informed financial consent'.

In recent years, concerns about the financial burdens of health care and growing recognition of the relevance of cost to decision making and patient experience have increasingly focused attention on financial 'transparency' and disclosure of costs to patients. In some jurisdictions, there have been calls not only for timely disclosure of costs information, but also for 'informed financial consent'. However, simply putting the 'financial' into 'informed consent' and invoking an informed consent standard for cost information encounters several ethical, legal, and practical difficulties. This article will examine the viability and desirability of 'informed financial consent', and whether it is possible to derive ideas from traditional informed consent that may improve decision making and the patient experience. We argue that, while there are important legal, ethical, and practical challenges to consider, some of the principles of informed consent to treatment can usefully guide financial communication. We also argue that, while medical practitioners (and their delegates) have an important role to play in bridging the gap between disclosure and enabling informed (financial) decision making, this must be part of a multi-faceted approach to financial communication that acknowledges the influence of non-clinical providers and other structural forces on discharging such obligations.

What are the main drivers of SMEs’ production of sustainability reports?

This study aims to deepen our understanding of the theoretical frameworks that underlie SMEs' disclosure of sustainability information. Qualitative empirical research was conducted on SMEs that proactively engage in sustainability reporting. To identify the key drivers, interviews were conducted with a sample of Spanish SMEs, and the reasons for sustainability reporting provided by informants were ranked by frequency. Our findings indicate that stakeholder theory holds a prominent position, closely followed by legitimacy theory and the resource-based view. This ranking reveals a mixture of external and internal drivers, contributing to the existing literature by emphasizing the predominance of management factors over sociological arguments in favor of sustainability reporting in SMEs. Regulators, practitioners, and academics can benefit from these findings to better understand the decision-making processes of SMEs regarding sustainability reporting practices, while accounting for their relationships in the contexts in which they operate.

Digital transformation and innovation activities: evidence from publicly-listed firms in China

This study investigates the relationship between digital transformation (DT) and corporate innovation activities. By studying the publicly-listed firms in China, we find that firms with higher levels of DT tend to spend more on research and development (R&D) and tend to generate more innovation outputs. The impact of DT on R&D expenditures is particularly pronounced for firms with more limited disclosure of information, more complex organizational structures, and for those who do not receive government sponsorship. We find no evidence that DT affects innovation through alleviating financial constraints or enhancing operating performance. Collectively, these findings offer novel and practical insights into the interaction between digitization and firms’ innovation.

CEO industry tournament, investor attention, and company value

AbstractBased on the emerging capital market of China, this paper uses the data of Chinese listed companies to test the market value management behavior of CEOs under the incentive of industry tournaments. The empirical results show that the CEOs industry tournament improves the value of listed companies by attracting investor attention. In the test of the incentive mechanism of the industry tournament, we find that in the samples with lower industry mobility and state ownership and where the CEO is new, retiring, or a founder, the industry pay gap has a weaker incentive effect on the CEO. In the test of the CEOs' efforts to manage investor attention, this paper finds that CEOs are incentivized to disclose more financial and nonfinancial information, increase advertising spending, and hold more shareholder meetings. Discussed with other incentives, compensation incentives and equity incentives enhance the motivational role of industry championships for CEOs. This study explores in depth the possible impact of industry tournaments on CEO behavioral decisions and also provides a new perspective for corporate to manage investor attention. This provides important reference value for corporate CEO compensation, information disclosure supervision, and investor decision‐making.

Do nonlinear and interactive effects exist in live-streaming sellers’ disclosure of two-sided product information on consumers’ trust and purchase intention?

PurposeThis study examines the inverted U-shaped relationship between a live-streaming seller’s disclosure of two-sided product information and consumers’ trust in the seller and product. It also explores the interaction between these two types of information disclosure and their impact on purchase intention in the live-streaming sales context.Design/methodology/approachAn e-questionnaire survey was conducted in China, followed by multiple regression and structural equation modeling analyses.FindingsThe disclosure of both negative and positive product information is positively correlated with consumers’ trust in the seller or product but does not directly affect their purchase intention. Negative information disclosure neither enhances nor diminishes the positive impact of disclosing positive information on consumer trust.Practical implicationsLive-streaming sellers (i.e. retailers or manufacturers) should disclose both positive and negative product information to form consumers’ trust toward them (or products) and enhance sales.Social implicationsLive-streaming sellers often worry about the negative effects of excessive promotions or disclosure of positive or negative product information. However, these negative effects were not statistically significant.Originality/valueSince some researchers have found nonlinear effects of two-sided product information in other contexts, this study is the first to focus on the impact of live-streaming sellers’ disclosure of two-sided product information on consumers’ trust in the live-streaming sales context rather than on the information per se.

Research on the Impact of ESG Disclosure on Green Bond Issuance in New Energy from the Perspective of Carbon peak

With the goal of carbon peaking, low-carbon green development has become the main theme of economic development. In this context, while pursuing economic benefits, it is also necessary to take into account environmental benefits. Industrial development policies and matching funding strategies related to low-carbon green are called for, and sustainable economic strategies will make the industry move forward steadily. On the basis of foreign scholars' research on green bonds and industrial ESG, this project is based on the new energy industry, organizing and researching the information disclosed by its ESG, exploring in depth the influence of this information on the issuance of green bonds by the new energy industry, and exploring whether there is any positivity in this influence. The ESG information disclosed by the new energy industry can, on the one hand, help investors better understand ESG governance and the green bond market in the new energy industry, and guide them to make rational investments; on the other hand, it can help the government better formulate policies to improve the perfection of the green bond-related standards, including the evaluation system and certification system, as well as the quality of the industry's information disclosure.

Exploring Investment Optimization and “Greenwashing” from ESG Disclosure: A Dual Examination of Investor Perception

This study investigates the intricate correlation between environmental, social, and governance (ESG) information and the financial performance of companies, with a focus on the fundamental nature of ESG and its influence on the choices made by investors. This study examines available literature and data analysis to uncover how disclosing ESG information impacts investment optimization. Additionally, it clarifies the relationship between greenwashing and the advancement of green financial products. The study employs the XGBoost ensemble learning method, using non-financial features of ESG combined with financial features to construct a prediction model, achieving a prediction accuracy rate of 71.26%. Furthermore, applying this model aims to further utilize it in stock selection and constructing a stock pool. By analyzing the financial performance of companies predicted by the model, we will select potential high-performance stocks to build an investment portfolio. Then, we use the Markowitz portfolio theory to optimize the weight combination of stocks in the pool to maximize expected returns and minimize risk. After backtesting the investment portfolio using the closing prices in 2021, its annualized return was a positive 5.76%, significantly higher than the benchmark portfolio. Additionally, this study provides theoretical references and practical guidance for insight and addressing the potential large-scale greenwashing behavior under the trend of increasing ESG information disclosure in the future.

Comparative analysis of residential building decarbonization policies in major economies: insights from the EU, China, and India

The global building sector, responsible for over 30% of CO2 emissions, necessitates urgent decarbonization efforts. This paper examines residential building decarbonization policies in three major economies—the European Union (EU), China, and India. It provides an overview of diverse policies through policy landscape analysis and delves into the design specifics with a detailed policy intensity analysis of building energy codes, information disclosure, and financial incentives in each region. Our findings reveal a diverse mix of policies targeting residential building decarbonization in all three regions. While the EU and China have long-established diverse policy instruments, India's building energy efficiency policies are relatively recent and limited. Detailed analyses of building energy codes, information disclosure, and financial incentives expose variations in ambition, scope, and implementation, even with shared policy instruments. Significant advancements in building energy codes, particularly in stringency and compliance checks, are evident in the EU and China. Conversely, India faces a notable obstacle with limited adoption of residential building energy codes, impacting its journey towards net-zero. The EU leads in building energy labelling policies, while China and India encounter various challenges hindering widespread implementation. Financial incentives across the three regions predominantly take the form of subsidies, potentially straining public budgets. The study concludes with reflections on the pressing need for future research extending beyond the operational phase of buildings.

Sensory, emotional, and appropriateness of plant- and meat-based burgers.

The plant-based meat alternative market is experiencing rapid growth. However, whether this growth extends to mainstream consumers will depend on the sensory profile, emotional profile, and situational appropriateness of these products. This study provides a sensory comparison between two plant-based burgers, one hybrid burger, and a conventional 100% ground beef burger. The sensory evaluation was carried out under blind and informed conditions using a between-subject design. Participants (n=177) were asked to rate the appearance, flavor, odor, and texture of each product and indicate their overall liking. In addition, 26 sensory terms were evaluated using the rate-all-that-apply technique. The study also measured the emotional profile and the situational appropriateness elicited by each product using the check-all-that-apply technique. The results showed that (a) in the blind condition, there were no significant differences observed in overall liking across the four burgers; (b) the plant-based burger made with pea protein received the lowest overall liking score, and its evaluation was not positively influenced by product information disclosure; (c) providing product information influenced the perceived intensity of the attributes associated with meat; (d) discriminatory ability for emotions was higher in the informed condition; and (e) for the situational appropriateness, when prioritizing healthy eating, participants considered plant-based burgers more suitable than the groundbeef burger. PRACTICAL APPLICATION: Our results demonstrate that product descriptions could have an impact on consumer acceptance of different meat burger alternatives. In order to launch successfull meat alternatives, product developers and communication marketing specialists should consider the extent to which these alternatives resemble regular meat products in terms of their sensory and emotional profiles and context of use.