Disclosure of corporate social responsibility information and explanatory factors

The purpose of this paper is to analyze the voluntary disclosure of corporate social responsibility (CSR) in companies of different countries.

Based on a sample of 110 companies for the year 2014, a total of 79 indicators were analyzed, nine of which correspond to economic aspects of the company, 30 to environmental aspects and 40 to social aspects, according to the Global Reporting Initiative (GRI G3.1). Moreover, a dependence model was set up to see which variables may affect the disclosure of economic, social and environmental information, both separately and as a whole.

The companies in the sample showed an average of six economic indicators, 20 environmental indicators and 27 social indicators. Regarding the explanatory variables tested, the results obtained showed that company SIZE, LEVERAGE, DJSI and CIVILLAW were the most significant variables, most affecting a company’s decision to make voluntary disclosure in relation to CSR issues.

The disclosure of more information about economic, environmental and social aspects can be used by the firm as a mechanism to reduce social and governmental pressure. It is important to point out that the information provided by companies in their CSR reports is essential in corroborating the legitimacy of their activity.

Improving a company’s image in society is one of the reasons why firms disclose CSR information and Internet and online tools are appropriate means of dissemination in an age of increasing speed of knowledge.

Previous studies have provided scores to reflect whether or not companies disclosed CSR, whereas the present study goes deeper by making a detailed analysis of the type of economic, environmental and social information presented by companies analyzed.