Accounting Commons^™

Does The Adoption Of Ifrs Affect Corporate Social Disclosure In Annual Reports?, Joyce Van Der Van Der Laan Smith, Andrea L. Gouldman, Rasoul H. Tondkar

Accounting Faculty Publications

In this exploratory study we investigate the impact of the implementation of IFRS on corporate social disclosures (CSD) within the context of stakeholder theory. We measure the level of CSD in annual reports using a disclosure instrument based on the United Nations Conference on Trade and Development report “Guidance on Corporate Responsibility Indicators in Annual Reports”. We find that IFRS adoption had a differential effect on CSD based on a firm's institutional setting i.e., the stakeholder–management relationship prevalent in their institutional environment. Firms in the stakeholder countries did not have a significant change in the level of CSD following the …