Compliance of corporate responsibility information at Vietnamese listed enterprises

Abstract

In the trend of economic globalization, corporate responsibility is always concerned with economic growth. Responsibility accounting has important implications for enterprises in their growth. It contributes to the harmonization of interests among stakeholders. An enterprise complying with commitments, ensuring the implementation of responsibilities to communities and society, is an inevitable and objective trend. The objective of the paper is to examine the factors of profit ratio affecting compliance of corporate responsibility information. With a survey sample of 100 enterprises listed on Vietnam’s stock market, the paper uses data over the last five years in the period from 2016 to 2020. The results show that two independent variables have a positive effect on compliance of corporate responsibility accounting information, including return on equity and return on sales, in which return on sales has the strongest impact. Therefore, to strengthen the compliance with corporate responsibility information of Vietnamese listed enterprises, Vietnamese state agencies need to comply with international principles to issue appropriate regulations applicable to enterprises. Managers of Vietnamese listed enterprises need to raise awareness and demonstrate full responsibility including compliance with stakeholders.