Corporate Governance and Corporate Social Responsibility Disclosure

There is a distinct lack of research into the relationship between corporate governance and corporate social responsibility (CSR) in the banking sector. This paper fills the gap in the literature by examining the impact of corporate governance, with particular reference to the role of board of direc...

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محفوظ في:
التفاصيل البيبلوغرافية
المؤلف الرئيسي: Jizi, Mohammad Issam (author)
مؤلفون آخرون: Salama, Aly (author), Dixon, Robert (author), Stratling, Rebecca (author)
التنسيق: article
منشور في: 2014
الوصول للمادة أونلاين:http://hdl.handle.net/10725/12435
https://doi.org/10.1007/s10551-013-1929-2
http://libraries.lau.edu.lb/research/laur/terms-of-use/articles.php
https://link.springer.com/article/10.1007/s10551-013-1929-2
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author Jizi, Mohammad Issam
author2 Salama, Aly
Dixon, Robert
Stratling, Rebecca
author2_role author
author
author
author_facet Jizi, Mohammad Issam
Salama, Aly
Dixon, Robert
Stratling, Rebecca
author_role author
dc.creator.none.fl_str_mv Jizi, Mohammad Issam
Salama, Aly
Dixon, Robert
Stratling, Rebecca
dc.date.none.fl_str_mv 2014
2021-01-26T11:36:58Z
2021-01-26T11:36:58Z
2021-01-26
dc.identifier.none.fl_str_mv 0167-4544
http://hdl.handle.net/10725/12435
https://doi.org/10.1007/s10551-013-1929-2
Jizi, M. I., Salama, A., Dixon, R., & Stratling, R. (2014). Corporate governance and corporate social responsibility disclosure: Evidence from the US banking sector. Journal of business ethics, 125(4), 601-615.
http://libraries.lau.edu.lb/research/laur/terms-of-use/articles.php
https://link.springer.com/article/10.1007/s10551-013-1929-2
dc.language.none.fl_str_mv en
dc.relation.none.fl_str_mv Journal of Business Ethics
dc.rights.*.fl_str_mv info:eu-repo/semantics/openAccess
dc.title.none.fl_str_mv Corporate Governance and Corporate Social Responsibility Disclosure
Evidence from the US Banking Sector
dc.type.none.fl_str_mv Article
info:eu-repo/semantics/publishedVersion
info:eu-repo/semantics/article
description There is a distinct lack of research into the relationship between corporate governance and corporate social responsibility (CSR) in the banking sector. This paper fills the gap in the literature by examining the impact of corporate governance, with particular reference to the role of board of directors, on the quality of CSR disclosure in US listed banks’ annual reports after the US sub-prime mortgage crisis. Using a sample of large US commercial banks for the period 2009–2011 and controlling for audit committee characteristics, board meeting frequency, and banks’ profitability, size and risk, we find evidence that board independence and board size, the two board characteristics usually associated with the protection of shareholder interests, are positively related to CSR disclosure. This indicates that, with regard to CSR disclosure, more independent boards of directors and larger boards are the internal corporate governance mechanisms which promote both shareholders’ and other stakeholders’ interests. Contrary to our expectations, CEO duality also impacts positively on CSR disclosure. From an agency-theoretical viewpoint, this suggests that powerful CEOs may promote transparency about banks’ CSR activities for their private benefits. While this could indicate that powerful CEOs are under particular pressure to appease stakeholders’ concerns that they might abuse their power by providing a high degree of CSR disclosure, it could also be a sign of managerial risk aversion or managers’ private reputational concerns.
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identifier_str_mv 0167-4544
Jizi, M. I., Salama, A., Dixon, R., & Stratling, R. (2014). Corporate governance and corporate social responsibility disclosure: Evidence from the US banking sector. Journal of business ethics, 125(4), 601-615.
language_invalid_str_mv en
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spelling Corporate Governance and Corporate Social Responsibility DisclosureEvidence from the US Banking SectorJizi, Mohammad IssamSalama, AlyDixon, RobertStratling, RebeccaThere is a distinct lack of research into the relationship between corporate governance and corporate social responsibility (CSR) in the banking sector. This paper fills the gap in the literature by examining the impact of corporate governance, with particular reference to the role of board of directors, on the quality of CSR disclosure in US listed banks’ annual reports after the US sub-prime mortgage crisis. Using a sample of large US commercial banks for the period 2009–2011 and controlling for audit committee characteristics, board meeting frequency, and banks’ profitability, size and risk, we find evidence that board independence and board size, the two board characteristics usually associated with the protection of shareholder interests, are positively related to CSR disclosure. This indicates that, with regard to CSR disclosure, more independent boards of directors and larger boards are the internal corporate governance mechanisms which promote both shareholders’ and other stakeholders’ interests. Contrary to our expectations, CEO duality also impacts positively on CSR disclosure. From an agency-theoretical viewpoint, this suggests that powerful CEOs may promote transparency about banks’ CSR activities for their private benefits. While this could indicate that powerful CEOs are under particular pressure to appease stakeholders’ concerns that they might abuse their power by providing a high degree of CSR disclosure, it could also be a sign of managerial risk aversion or managers’ private reputational concerns.PublishedN/A2021-01-26T11:36:58Z2021-01-26T11:36:58Z20142021-01-26Articleinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/article0167-4544http://hdl.handle.net/10725/12435https://doi.org/10.1007/s10551-013-1929-2Jizi, M. I., Salama, A., Dixon, R., & Stratling, R. (2014). Corporate governance and corporate social responsibility disclosure: Evidence from the US banking sector. Journal of business ethics, 125(4), 601-615.http://libraries.lau.edu.lb/research/laur/terms-of-use/articles.phphttps://link.springer.com/article/10.1007/s10551-013-1929-2enJournal of Business Ethicsinfo:eu-repo/semantics/openAccessoai:laur.lau.edu.lb:10725/124352021-11-30T10:51:40Z
spellingShingle Corporate Governance and Corporate Social Responsibility Disclosure
Jizi, Mohammad Issam
status_str publishedVersion
title Corporate Governance and Corporate Social Responsibility Disclosure
title_full Corporate Governance and Corporate Social Responsibility Disclosure
title_fullStr Corporate Governance and Corporate Social Responsibility Disclosure
title_full_unstemmed Corporate Governance and Corporate Social Responsibility Disclosure
title_short Corporate Governance and Corporate Social Responsibility Disclosure
title_sort Corporate Governance and Corporate Social Responsibility Disclosure
url http://hdl.handle.net/10725/12435
https://doi.org/10.1007/s10551-013-1929-2
http://libraries.lau.edu.lb/research/laur/terms-of-use/articles.php
https://link.springer.com/article/10.1007/s10551-013-1929-2