IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this article

The Use Of Disclosure Indices In Internet Financial Reporting Research

Listed author(s):
  • Dr. Mohd Noor Azli bin Ali Khan

    (Faculty of Management and Human Resource Development, Universiti Teknologi Malaysia, Johor)

  • Professor Dr. Noor Azizi bin Ismail

    (College of Business (Accounting), Universiti Utara Malaysia, Kedah)

Registered author(s):

    The rapid growth of Internet technology has created the ability for firms to disseminate information to global audience. The revolution in information technology has paved the way to realize new tools, which may aid in different aspect to life. The most essential characteristics of the Internet are that information can be accesses at almost anytime and from anywhere. Consistent with the advancement of the Internet as a cheap but powerful communication device, disclosure of financial information on the Internet is becoming an increasingly popular subject of research. Many have investigated the extent, mode and quality of Internet Financial Reporting (IFR) over the last decade. However, most of early IFR researches are descriptive and exploratory in nature, thus unable to explain the phenomenon. Further, while many have conceded that a suitable proxy such as an index of disclosure can be used to gain insight into the sophistication of information disclosed by companies, to date, very few attempts have been made to develop such index. Of these few studies, the dimensions used to represent IFR are inconsistent among the researchers. These differences contribute to the variations in the findings and thus unable to clearly explain factors influencing the behaviour of the IFR. Therefore, this paper aims to address the issue of IFR index, by carefully reviewing existing literature relating to the topic. This issue is of particular importance to researchers since disclosure is an abstract concept that cannot be measured directly. A more comprehensive index which consists of several dimensions is hoped to assist the researchers to better explain the practices of IFR and its determinants.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL:
    Download Restriction: no

    File URL:
    Download Restriction: no

    Article provided by Global Research Agency in its journal Journal of Global Business and Economics.

    Volume (Year): 3 (2011)
    Issue (Month): 1 (July)
    Pages: 157-173

    in new window

    Handle: RePEc:grg:01biss:v:3:y:2011:i:1:p:157-173
    Contact details of provider: Web page:

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    in new window

    1. Doaa Aly, 2010. "Determinants of corporate internet reporting: evidence from Egypt," Managerial Auditing Journal, Emerald Group Publishing, vol. 25(2), pages 182-202, January.
    2. Barbara Pirchegger & Alfred Wagenhofer, 1999. "Financial information on the Internet: a survey of the homepages of Austrian companies," European Accounting Review, Taylor & Francis Journals, vol. 8(2), pages 383-395.
    3. Debreceny, Roger & Gray, Glen L. & Rahman, Asheq, 2002. "The determinants of Internet financial reporting," Journal of Accounting and Public Policy, Elsevier, vol. 21(4-5), pages 371-394.
    4. Kelton, Andrea S. & Yang, Ya-wen, 2008. "The impact of corporate governance on Internet financial reporting," Journal of Accounting and Public Policy, Elsevier, vol. 27(1), pages 62-87.
    5. Lee, Chi-Wen Jevons, 1987. "Accounting infrastructure and economic development," Journal of Accounting and Public Policy, Elsevier, vol. 6(2), pages 75-85.
    6. Zezhong Xiao & Michael John Jones & Andy Lymer, 2002. "Immediate trends in Internet reporting," European Accounting Review, Taylor & Francis Journals, vol. 11(2), pages 245-275.
    7. Williams, S. Mitchell & Ho Wern Pei, Carol-Anne, 1999. "Corporate social disclosures by listed companies on their web sites: an international comparison," The International Journal of Accounting, Elsevier, vol. 34(3), pages 389-419, 08.
    8. Pontus Hedlin, 1999. "The Internet as a vehicle for investor relations: the Swedish case," European Accounting Review, Taylor & Francis Journals, vol. 8(2), pages 373-381.
    9. Siti Rosmaini Bt Mohd Hanafi & Mohd Ariff Bin Kasim & Muhd Kamil Bin Ibrahim & Dawson R. Hancock, 2009. "Business Reporting on the Internet: Development of a Disclosure Quality Index," International Journal of Business and Economics, College of Business and College of Finance, Feng Chia University, Taichung, Taiwan, vol. 8(1), pages 55-79, April.
    10. Wai Kin Chan & Nilmini Wickramasinghe, 2006. "Using the internet for financial disclosures: the Australian experience," International Journal of Electronic Finance, Inderscience Enterprises Ltd, vol. 1(1), pages 118-150.
    11. Ettredge, Michael & Richardson, Vernon J. & Scholz, Susan, 2002. "Dissemination of information for investors at corporate Web sites," Journal of Accounting and Public Policy, Elsevier, vol. 21(4-5), pages 357-369.
    12. Healy, Paul M. & Palepu, Krishna G., 2001. "Information asymmetry, corporate disclosure, and the capital markets: A review of the empirical disclosure literature," Journal of Accounting and Economics, Elsevier, vol. 31(1-3), pages 405-440, September.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:grg:01biss:v:3:y:2011:i:1:p:157-173. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (editor)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.