Determinants of the Comprehensiveness of Corporate Internet Reporting by Romanian Listed Companies
14 Pages Posted: 5 Dec 2009
Date Written: November 20, 2009
Our paper examines the association between corporate characteristics and disclosure comprehensiveness (quality and quantity) measured by the level of corporate internet reporting (CIR). On the basis of previous literature we identify and use both company specific and corporate governance characteristics as determinants of CIR. We apply the disclosure index developed by Kelton and Yang (2008) to measure the extent of each sample firm’s CIR by presentation format, information content, and corporate governance disclosures.
The findings suggest that corporate characteristics influence the CIR behavior of entities, presumably in response to the information asymmetry between management and investors and the resulting agency costs. Our results suggest that new regulatory guidance in corporate governance, more rigorous legislation and stronger enforcement of rules leads to improved disclosure transparency via CIR.
Keywords: corporate internet reporting, disclosure, determinants, corporate governance, listed entities
JEL Classification: M40, M41
Suggested Citation: Suggested Citation