Theoretical Perspectives on Corporate Social and Environmental Disclosure: Evidence From China

Using a data set of top 56 corporate social and environmental reporting (CSER) disclosing firms with 112 observations on the H-share and Red-chip lists of the Hong Kong Stock Exchange, results suggest that charitable donations, firm size, and the Songhua River incident response are positively related to the CSER disclosure, whereas debt–equity ratio, profit margin, and firm age revealed counterdirectional relationships. Other variables including media attention and market risk were found to have no impact. Findings imply that the Chinese government and its agencies need to prescribe CSER guidelines and make them mandatory for listed firms.