1 Introduction
2 Theory and hypotheses development
2.1 Theoretical perspectives on CSR disclosure
2.2 Hypotheses development
2.2.1 Company visibility
2.2.2 Profitability
2.2.3 Shareholder structure
2.2.4 Relationship with US stakeholders
2.3 Control variables
3 Design of the study and methodology
3.1 Sample construction
3.2 Content analysis
3.2.1 Unit of analysis
3.2.2 Identification of keywords
Keywords | |
---|---|
Environmental | Social |
Recycled | Employment |
Energy consumption | Employee turnover |
Biodiversity | Collective bargaining |
Emissions | Collective agreements |
Effluents | Occupational health |
Waste | Occupational safety |
Spills | Training |
Environmental impacts | Diversity |
Equal opportunities | |
Human rights | |
Discrimination | |
Freedom of association | |
Child labor | |
Forced labor | |
Compulsory labor | |
Community | |
Corruption | |
Public policy | |
Compliance | |
Fines | |
Sanctions | |
Product responsibility | |
Customer health | |
Customer safety |
3.2.3 Communication channel
3.3 Dependent variables: CSR disclosure
3.4 Independent variables: determinants of CSR disclosure and control variables
Variable | Measure | Source | |
---|---|---|---|
Abbreviation | Explanation | ||
Provision of separate CSR reports | CSRR | Provided reports (1/0), dependent | Downloaded from the companies website |
Total disclosure index | CSRTOT | Content analysis, dependent | Provided reports |
Environmental disclosure index | CSRENV | Content analysis, dependent | Provided reports |
Social disclosure index | CSRSOC | Content analysis, dependent | Provided reports |
Industry classification | 1/0, independent | DEUTSCHE BOERSE (www.boerse-frankfurt.com) | |
Company’s size | EMPLOYEES | Number of employees, independent | DEUTSCHE BOERSE (www.boerse-frankfurt.com) |
TOTASSETS | Total assets, independent | Thomson one banker | |
Visibility | VISIBILITY | Hits when searching for the company’s name, independent | HANDELSBLATT (www.handelsblatt.com) |
Profitability | ROIC | Return on invested capital, independent | Thomson One Banker (http://banker.thomsonib.com/) |
Shareholder structure | FREEFLOAT | Freefloat in percentage of shares, independent | DEUTSCHE BOERSE (www.boerse-frankfurt.com) |
Relationship to US stakeholders | USLISTED | Listing at US stock exchange (1/0), independent | From the companies’ websites |
3.5 Regression analysis
4 Results and discussion
4.1 Descriptive statistics and correlations
N | Min | Max | Mean | Std. deviation | Skewness | Kurtosis | |||
---|---|---|---|---|---|---|---|---|---|
Statistic | Statistic | Statistic | Statistic | Statistic | Statistic | Std. error | Statistic | Std. error | |
CSRTOT | 484 | 9 | 637 | 129 | 148.57 | 1.95 | 0.11 | 3.13 | 0.22 |
CSRENV | 484 | 0 | 271 | 59 | 68.93 | 1.59 | 0.11 | 1.82 | 0.22 |
CSRSOC | 484 | 5 | 376 | 68 | 85.87 | 2.24 | 0.11 | 4.37 | 0.22 |
VISIBILITY | 484 | 42 | 57,916 | 7,317 | 15,708.19 | 2.60 | 0.11 | 5.24 | 0.22 |
ROIC | 482 | −13.21 | 40.62 | 10.49 | 9.98 | 0.58 | 0.11 | 1.62 | 0.22 |
FREEFLOAT | 476 | 0.05 | 1 | 0.65 | 0.27 | −0.24 | 0.11 | −1.06 | 0.22 |
TOTASSETS (Scale = 1 Mio.) | 483 | 178.21 | 262,215 | 24,706.36 | 57,202.00 | 2.99 | 0.11 | 8.31 | 0.22 |
logTA | 483 | 2.25 | 5.42 | 3.53 | 0.85 | 0.64 | 0.11 | −0.45 | 0.22 |
EMPLOYEES | 484 | 46 | 324,875 | 36,580 | 69,008.17 | 2.93 | 0.11 | 8.40 | 0.22 |
logEMPL | 484 | 1.66 | 5.51 | 3.89 | 0.88 | −0.40 | 0.11 | −0.02 | 0.22 |
Valid N | 470 |
CSRR | CSRTOT | CSRENV | CSRSOC | VISIBILITY | ROIC | FREEFLOAT | USLISTED | logEMPL | logTA | AUTOM | BANKS | BASIC | CHEMI | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
CSRR | Pearson correlation | 1 | |||||||||||||
Sig. (2-tailed) | |||||||||||||||
CSRTOT | Pearson correlation | .768** | 1 | ||||||||||||
Sig. (2-tailed) | .000 | ||||||||||||||
CSRENV | Pearson correlation | .644** | .907** | 1 | |||||||||||
Sig. (2-tailed) | .000 | .000 | |||||||||||||
CSRSOC | Pearson correlation | .770** | .932** | .707** | 1 | ||||||||||
Sig. (2-tailed) | .000 | .000 | .000 | ||||||||||||
VISIBILITY | Pearson correlation | .166** | .054 | −.057 | .147** | 1 | |||||||||
Sig. (2-tailed) | .000 | .234 | .211 | .001 | |||||||||||
ROIC | Pearson correlation | −.030 | −.004 | .042 | −.044 | −.196** | 1 | ||||||||
Sig. (2-tailed) | .518 | .937 | .360 | .331 | .000 | ||||||||||
FREEFLOAT | Pearson correlation | .217** | .195** | .144** | .206** | .116* | −.089 | 1 | |||||||
Sig. (2-tailed) | .000 | .000 | .002 | .000 | .011 | .052 | |||||||||
USLISTED | Pearson correlation | .320** | .281** | .154** | .359** | .168** | −.097* | .099* | 1 | ||||||
Sig. (2-tailed) | .000 | .000 | .001 | .000 | .000 | .034 | .030 | ||||||||
LogEMPL | Pearson correlation | .454** | .544** | .463** | .556** | −.022 | −.097* | .142** | .365** | 1 | |||||
Sig. (2-tailed) | .000 | .000 | .000 | .000 | .622 | .033 | .002 | .000 | |||||||
LogTA | Pearson correlation | .499** | .510** | .365** | .578** | .348** | −.225** | .152** | .475** | .723** | 1 | ||||
Sig. (2-tailed) | .000 | .000 | .000 | .000 | .000 | .000 | .001 | .000 | .000 | ||||||
AUTOM | Pearson correlation | .075 | .184** | .222** | .127** | −.046 | −.056 | −.082 | .171** | .235** | .139** | 1 | |||
Sig. (2-tailed) | .099 | .000 | .000 | .005 | .316 | .220 | .074 | .000 | .000 | .002 | |||||
BANKS | Pearson correlation | .069 | .018 | −.080 | .100* | .383** | −.149** | −.000 | .105* | .081 | .360** | −.046 | 1 | ||
Sig. (2-tailed) | .129 | .688 | .079 | .028 | .000 | .001 | .993 | .021 | .076 | .000 | .315 | ||||
BASIC | Pearson correlation | −.033 | .014 | .045 | −.039 | −.066 | .148** | −.037 | −.048 | −.017 | −.047 | −.038 | −.028 | 1 | |
Sig. (2-tailed) | .474 | .762 | .323 | .391 | .145 | .001 | .422 | .296 | .704 | .299 | .407 | .536 | |||
CHEMI | Pearson correlation | .100* | .234** | .334** | .138** | −.123** | .135** | .148** | −.100* | .047 | −.007 | −.079 | −.059 | −.049 | 1 |
Sig. (2-tailed) | .028 | .000 | .000 | .002 | .007 | .003 | .001 | .028 | .301 | .872 | .081 | .194 | .284 | ||
CONSU | Pearson correlation | .128** | .070 | −.013 | .112* | −.085 | .087 | −.115* | −.076 | −.012 | −.129** | −.060 | −.045 | −.037 | −.078 |
Sig. (2-tailed) | .005 | .122 | .780 | .014 | .061 | .058 | .012 | .095 | .785 | .005 | .186 | .324 | .416 | .087 | |
CONSTR | Pearson correlation | .049 | .117** | .202** | .022 | −.083 | −.026 | −.032 | −.063 | .115* | .043 | −.050 | −.037 | −.031 | −.065 |
Sig. (2-tailed) | .280 | .010 | .000 | .627 | .069 | .561 | .482 | .166 | .011 | .347 | .271 | .412 | .499 | .155 | |
FINAN | Pearson correlation | −.163** | −.262** | −.295** | −.209** | .279** | −.033 | .041 | −.123** | −.561** | −.150** | −.098* | −.073 | −.060 | −.126** |
Sig. (2-tailed) | .000 | .000 | .000 | .000 | .000 | .465 | .372 | .007 | .000 | .001 | .032 | .110 | .187 | .005 | |
FOODB | Pearson correlation | −.004 | −.017 | .020 | −.043 | −.041 | −.069 | −.103* | −.028 | .040 | .039 | −.022 | −.017 | −.014 | −.029 |
Sig. (2-tailed) | .362 | .714 | .655 | .344 | .374 | .132 | .025 | .532 | .384 | .395 | .620 | .711 | .760 | .521 | |
INDUS | Pearson correlation | −.123** | −.094* | −.048 | −.112* | −.221** | .066 | .001 | −.113* | .014 | −.199** | −.143** | −.107* | −.088 | −.185** |
Sig. (2-tailed) | .007 | .040 | .288 | .014 | .000 | .149 | .829 | .013 | .754 | .000 | .002 | .019 | .053 | .000 | |
INSUR | Pearson correlation | .104* | −.036 | −.046 | −.021 | −.008 | −.059 | .105* | .324** | .087 | .294** | −.040 | −.030 | −.024 | −.051 |
Sig. (2-tailed) | .023 | .435 | .313 | .645 | .864 | .197 | .022 | .000 | .056 | .000 | .385 | .517 | .593 | .262 | |
MEDIA | Pearson correlation | −.104* | −.147** | −.168** | −.113* | .074 | −.066 | −.104* | −.071 | −.179** | −.140** | −.057 | −.042 | −.035 | −.073 |
Sig. (2-tailed) | .022 | .001 | .000 | .013 | .105 | .149 | .023 | .117 | .000 | .002 | .214 | .354 | .445 | .108 | |
PHARM | Pearson correlation | −.071 | −.044 | −.052 | −.028 | −.108* | −.031 | .228** | .040 | .085 | −.032 | −.064 | −.048 | −.039 | −.082 |
Sig. (2-tailed) | .116 | .333 | .249 | .536 | .017 | .500 | .000 | .378 | .063 | .484 | .162 | .297 | .389 | .070 | |
RETAI | Pearson correlation | −.026 | −.099* | −.140** | −.053 | −.072 | .017 | −.145** | −.080 | .083 | −.052 | −.064 | −.048 | −.039 | −.082 |
Sig. (2-tailed) | .568 | .029 | .002 | .240 | .115 | .703 | .001 | .078 | .069 | .250 | .162 | .297 | .389 | .070 | |
SOFTW | Pearson correlation | .019 | .004 | −.059 | .056 | −.015 | .166** | .016 | .292** | .076 | .053 | −.023 | −.017 | −.014 | −.02 |
Sig. (2-tailed) | .676 | .935 | .199 | .222 | .749 | .000 | .728 | .000 | .095 | .248 | .620 | .711 | .760 | .521 | |
TECHN | Pearson correlation | −.036 | −.030 | −.049 | −.011 | −.003 | −.133** | .102* | .253** | .065 | .039 | −.020 | −.015 | −.012 | −.025 |
Sig. (2-tailed) | .430 | .506 | .278 | .810 | .941 | .003 | .025 | .000 | .151 | .391 | .668 | .749 | .792 | .580 | |
TELEC | Pearson correlation | .080 | .102* | .040 | .144** | .294** | −.048 | .012 | .292** | .154** | .166** | −.023 | −.017 | −.014 | −.029 |
Sig. (2-tailed) | .080 | .025 | .381 | .002 | .000 | .297 | .795 | .000 | .000 | .000 | .620 | .711 | .760 | .521 | |
TRANS | Pearson correlation | .065 | .029 | .005 | .053 | .141** | −.079 | −.100* | −.080 | .094* | .082 | −.064 | −.048 | −.039 | −.082 |
Sig. (2-tailed) | .154 | .518 | .908 | .247 | .002 | .082 | .029 | .078 | .038 | .070 | .162 | .300 | .389 | .070 | |
UTILI | Pearson correlation | .188** | .228** | .245** | .197** | −.015 | −.016 | .021 | .147** | .121** | .198** | −.038 | −.028 | −.023 | −.049 |
Sig. (2-tailed) | .000 | .000 | .000 | .000 | .734 | .723 | .642 | .001 | .008 | .000 | .407 | .536 | .610 | .284 |
CONSU | CONSTR | FINAN | FOODB | INDUS | INSUR | MEDIA | PHARM | RETAI | SOFTW | TECHN | TELEC | TRANS | UTILI | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
CSRR | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
CSRTOT | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
CSRENV | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
CSRSOC | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
VISIBILITY | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
ROIC | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
FREEFLOAT | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
USLISTED | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
LogEMPL | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
LogTA | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
AUTOM | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
BANKS | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
BASIC | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
CHEMI | Pearson correlation | ||||||||||||||
Sig. (2-tailed) | |||||||||||||||
CONSU | Pearson correlation | 1 | |||||||||||||
Sig. (2-tailed) | |||||||||||||||
CONSTR | Pearson correlation | −.049 | 1 | ||||||||||||
Sig. (2-tailed) | .280 | ||||||||||||||
FINAN | Pearson correlation | −.096* | −.080 | 1 | |||||||||||
Sig. (2-tailed) | .035 | .080 | |||||||||||||
FOODB | Pearson correlation | −.022 | −.018 | −.036 | 1 | ||||||||||
Sig. (2-tailed) | .626 | .685 | .430 | ||||||||||||
INDUS | Pearson correlation | −.140** | −.117* | −.227** | −.053 | 1 | |||||||||
Sig. (2-tailed) | .002 | .010 | .000 | .247 | |||||||||||
INSUR | Pearson correlation | −.039 | −.032 | −.062 | −.015 | −.092* | 1 | ||||||||
Sig. (2-tailed) | .394 | .479 | .171 | .749 | .043 | ||||||||||
MEDIA | Pearson correlation | −.055 | −.046 | −.090* | −.021 | −.132** | −.036 | 1 | |||||||
Sig. (2-tailed) | .223 | .310 | .048 | .647 | .004 | .423 | |||||||||
PHARM | Pearson correlation | −.062 | −.052 | −.101* | −.023 | −.148** | −.041 | −.059 | 1 | ||||||
Sig. (2-tailed) | .170 | .254 | .026 | .606 | .001 | .368 | .197 | ||||||||
RETAI | Pearson correlation | −.062 | −.052 | −.101* | −.023 | −.148** | −.041 | −.059 | −.066 | 1 | |||||
Sig. (2-tailed) | .170 | .254 | .026 | .606 | .001 | .368 | .197 | .147 | |||||||
SOFTW | Pearson correlation | −.022 | −.018 | −.036 | −.008 | −.053 | −.015 | −.021 | −.023 | −.023 | 1 | ||||
Sig. (2-tailed) | .626 | .685 | .430 | .855 | .247 | .749 | .647 | .607 | .607 | ||||||
TECHN | Pearson correlation | −.019 | −.016 | −.031 | −.007 | −.046 | −.013 | −.018 | −.020 | −.020 | −.007 | 1 | |||
Sig. (2-tailed) | .674 | .726 | .495 | .874 | .317 | .782 | .692 | .656 | .656 | .874 | |||||
TELEC | Pearson correlation | −.022 | −.018 | −.036 | −.008 | −.053 | −.015 | −.021 | −.023 | −.023 | −.008 | −.007 | 1 | ||
Sig. (2-tailed) | .626 | .685 | .430 | .855 | .247 | .749 | .647 | .607 | .607 | .855 | .874 | ||||
TRANS | Pearson correlation | −.062 | −.052 | −.101* | −.023 | −.148** | −.041 | −.059 | −.066 | −.066 | −.023 | −.020 | −.023 | 1 | |
Sig. (2-tailed) | .170 | .254 | .026 | .607 | .001 | .368 | .197 | .147 | .147 | .607 | .656 | .607 | |||
UTILI | Pearson correlation | −.037 | −.031 | −.060 | −.014 | −.088 | −.024 | −.035 | −.039 | −.039 | −.014 | −.012 | −.014 | −.039 | 1 |
Sig. (2-tailed) | .416 | .499 | .187 | .760 | .053 | .593 | .445 | .389 | .389 | .760 | .792 | .760 | .389 |
4.2 Regression analysis
Hypotheses (expected effect) | (A) | (B) | (C) | (D) | (E) | ||||||
---|---|---|---|---|---|---|---|---|---|---|---|
CSRR | CSRTOT | CSRENV (1) | CSRENV (2) | CSRSOC | |||||||
Coefficient | Prob. | Coefficient | Prob. | Coefficient | Prob. | Coefficient | Prob. | Coefficient | Prob. | ||
Constant |
−14.84
|
.000 (***)
|
.000 (***)
|
.000 (***)
|
.000 (***)
|
.000 (***)
| |||||
VISIBILITY | H1 (+) |
.00
|
.033 (**)
|
.09
|
.056 (*)
|
.09
|
.048 (**)
| .03 |
.08
|
.058 (*)
| |
ROIC | H2 (+) | .035 | .054 |
.06
|
.098 (*)
|
.08
|
.035 (**)
| .04 | |||
FREEFLOAT | H3 (+) |
2.22
|
.003 (***)
|
.13
|
.001 (***)
|
.08
|
.036 (**)
|
.09
|
.011 (**)
|
.14
|
.000 (***)
|
USLISTED | H4 (+) |
1.46
|
.036 (**)
|
.22
|
.000 (***)
|
.12
|
.011 (**)
|
.09
|
.046 (**)
|
.28
|
.000 (***)
|
logEMPL | (+) |
2.19
|
.000 (***)
|
.45
|
.000 (***)
|
.31
|
.000 (***)
|
.52
|
.000 (***)
| ||
logTA | (+) |
.36
|
.000 (***)
| ||||||||
AUTOM | .136 |
.13
|
.027 (**)
|
.31
|
.000 (***)
|
.44
|
.000 (***)
| −.03 | |||
BASIC | .835 |
.08
|
.087 (*)
|
.17
|
.000 (***)
|
.23
|
.000 (***)
| −.02 | |||
CHEMI | 1.59 |
.29
|
.000 (***)
|
.51
|
.000 (***)
|
.63
|
.000 (***)
| .10 | |||
CONSU |
3.23
|
.015 (**)
|
.18
|
.003 (***)
|
.19
|
.002 (***)
|
.31
|
.000 (***)
|
.14
|
.021 (**)
| |
CONSTR | 1.30 |
.16
|
.005 (***)
|
.33
|
.000 (***)
|
.42
|
.000 (***)
| −.02 | |||
FINAN | −.398 | .10 |
.14
|
.069 (*)
|
.19
|
.018 (***)
| .06 | ||||
FOODB | −17.356 | .02 |
.10
|
.013 (**)
|
.13
|
.001 (***)
| −.04 | ||||
INDUS | .345 | .10 |
.30
|
.003 (***)
|
.52
|
.000 (***)
| −.07 | ||||
INSUR | .542 | −.10
|
.040 (**)
| .01 | .00 | −.17
|
.000 (***)
| ||||
MEDIA | −16.60 | .04 | .07 |
.16
|
.005 (***)
| .00 | |||||
PHARM | −1.10 | −.02 | .10 |
.22
|
.000 (***)
| −.11
|
.083 (*)
| ||||
RETAI | .369 | −.01 | .05 |
.17
|
.004 (***)
| −.05 | |||||
SOFTW | −1.36 | −.07
|
.074 (*)
| −.06 | −.01 | −.08
|
.063 (*)
| ||||
TECHN | −21.15 | −.10
|
.009 (***)
| −.05 | .00 | −.13
|
.001 (***)
| ||||
TELEC |
−3.34
|
.026 (**)
| −.03 | .00 | .05 | −.05 | |||||
TRANS | .27 | .09 |
.17
|
.004 (***)
|
.28
|
.000 (***)
| .02 | ||||
UTILI | 2.08 |
.19
|
.000 (***)
|
.30
|
.000 (***)
|
.33
|
.000 (***)
|
.08
|
.069 (*)
| ||
YR07 | .85 |
.12
|
.003 (***)
|
.12
|
.003 (***)
|
.11
|
.006 (***)
|
.11
|
.007 (***)
| ||
YR08 | .57 |
.12
|
.004 (***)
|
.13
|
.003 (***)
|
.11
|
.008 (***)
|
.11
|
.008 (***)
| ||
YR09 |
1.26
|
.014 (**)
|
.22
|
.000 (***)
|
.19
|
.000 (***)
|
.18
|
.000 (***)
|
.21
|
.000 (***)
| |
Nagelkerke R−squared | .58 | ||||||||||
Chi−squared (Prob.) |
204.16
|
.000 (***)
| |||||||||
Adjusted R-squared | .48 | .48 | .50 | .47 | |||||||
F-value (Prob.) |
18.05
|
.000 (***)
|
18.36
|
.000 (***)
|
19.58
|
.000 (***)
|
17.97
|
.000 (***)
| |||
N | 473 | 472 | 472 | 472 | 472 |
5 Summary and conclusions
6 Appendix
Industry-sector | Abbreviation | Number of companies |
---|---|---|
Automobile manufacturers | AUTOM | 7 |
Banks | BANKS | 4 |
Basic resources | BASIC | 3 |
Chemicals | CHEMI | 12 |
Construction | CONSTR | 5 |
Consumer | CONSU | 8 |
Financial services | FINAN | 19 |
Food and beverage | FOODB | 1 |
Industrial | INDUS | 32 |
Insurance | INSUR | 3 |
Media | MEDIA | 6 |
Pharma | PHARM | 8 |
Retail | RETAI | 8 |
Software | SOFTW | 1 |
Technology | TECHN | 1 |
Telecommunication | TELEC | 1 |
Transportation and logistics | TRANS | 8 |
Utilities | UTILI | 3 |
Total | 130 |