An Inherent Ambiguity of CSR Disclosure Concept: Evidence from IPO Prospectuses of Indonesian Listed Companies

DOI

10.2991/agc-18.2019.66How to use a DOI?

Keywords

corporate social responsibility, Initial public offering, Global reporting initiative, CSR disclosure practice

Abstract

The purposes of this study are to explore the conceptual definitions of Corporate Social Responsibility (CSR), review the common practice of CSR disclosure and examine whether Indonesian companies have fully adopted the correct disclosure practice of CSR in their Initial Public Offering (IPO) prospectuses. 162 prospectuses, which are all prospectuses issued from 2012 to 2018, were selected as sample of the study. The study period was chosen as the International Financial Reporting Standard (IFRS) was first implemented in Indonesia in 2012. Research data from the prospectuses was collected using content analysis employing theme-based coding. Descriptive statistics and multiple regression analysis were among the tests performed. Research findings are: Existing researchers show diverse definition of CSR but they seem to agree that CSR encompasses aspects such as Environmental, Social and Governance factors as suggested by the Global Reporting Initiative (GRI), thus, recent CSR disclosure practices have adopted the GRI guidelines. The disclosure practices adopted by Indonesian companies, therefore, are still ambiguous, not only they do not follow the GRI guidelines but also they do not have any guidelines of CRS factors to follow, consequently the level of disclosure and the number of disclosed factors varies greatly from one company to another. Among the CRS factors, which are currently disclosed by the company, they are positively associated with company size and profit. These results are robust to alternative specifications

Copyright

© 2018, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Zuraida Zuraida
AU  - Sugianto Sugianto
PY  - 2019/01
DA  - 2019/01
TI  - An Inherent Ambiguity of CSR Disclosure Concept: Evidence from IPO Prospectuses of Indonesian Listed Companies
BT  - Proceedings of the 1st Aceh Global Conference (AGC 2018)
PB  - Atlantis Press
SP  - 437
EP  - 445
SN  - 2352-5398
UR  - https://doi.org/10.2991/agc-18.2019.66
DO  - 10.2991/agc-18.2019.66
ID  - Zuraida2019/01
ER  -