The influence of corporate governance practices on corporate social responsibility reporting

Abstract

Purpose This study aims to investigate if “corporate governance practices” have any influence on firm corporate social responsibility (CSR) reporting by listed firms in Bangladesh. Design/methodology/approach This study uses a content analysis to examine specific corporate social responsibility (CSR)-related attributes from 101 publicly listed non-financial firms in Bangladesh. Using various attributes of social and environmental reporting, a disclosure index is also constructed. Findings The finding of this study is that corporate governance practices do not have any influence on firm CSR reporting. The findings, in particular, show that CSR disclosure by firms is not responsive to new corporate governance regulations. Research limitations/implications This study is subject to some limitations, such as the subjectivity or judgement associated in the coding process. Practical implications The implication of this study is that firm CSR practices are legitimization exercises and firms will not make increased disclosure due to regulator’s quest for institutionalisation of corporate governance practices. Originality/value This study contributes to the literature on the practices of CSR reporting in the context of developing countries following regulator’s quest for institutionalisation of corporate governance practices.