IDEAS home Printed from https://ideas.repec.org/a/pal/crepre/v20y2017i2d10.1057_s41299-017-0020-9.html
   My bibliography  Save this article

Impact of Voluntary Disclosures on Corporate Brand Equity

Author

Listed:
  • Soumya Sarkar

    (Indian Institute of Management Ranchi)

  • Titas Bhattacharjee

    (Indian Institute of Technology, Kharagpur)

Abstract

Voluntary disclosures by firms have been gaining traction among the stakeholders as the inadequacies of mandatorily disclosed information are getting conspicuous. The customers are one of the most important stakeholder groups for any firm. This paper looks at how the extent and quality of voluntary disclosures by the supplier firms influence the impression that is formed in the minds of the users/buyers in the customer firms is manifested through the strength of the supplier brand. Consequently, we probe the effect voluntary disclosures have on corporate brand equity. This study has assessed the corporate brand equity of the firms directly from their customers which lends authenticity to the measured strength of the brand. This way the self-reporting bias is precluded from our research. The study was done on Indian B2B firms which is very crucial because business buyers pay more critical attention to the disclosures of their vendors. The findings strongly support that the better and more are the disclosures, stronger is the brand equity of the brands.

Suggested Citation

  • Soumya Sarkar & Titas Bhattacharjee, 2017. "Impact of Voluntary Disclosures on Corporate Brand Equity," Corporate Reputation Review, Palgrave Macmillan, vol. 20(2), pages 125-136, May.
  • Handle: RePEc:pal:crepre:v:20:y:2017:i:2:d:10.1057_s41299-017-0020-9
    DOI: 10.1057/s41299-017-0020-9
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1057/s41299-017-0020-9
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1057/s41299-017-0020-9?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Gary K Meek & Clare B Roberts & Sidney J Gray, 1995. "Factors Influencing Voluntary Annual Report Disclosures By U.S., U.K. and Continental European Multinational Corporations," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 26(3), pages 555-572, September.
    2. Brickley, James A. & Smith Jr., Clifford W. & Zimmerman, Jerold L., 2002. "Business ethics and organizational architecture," Journal of Banking & Finance, Elsevier, vol. 26(9), pages 1821-1835, September.
    3. Tony McMurtrie, 2005. "Factors influencing the publication of social performance information: an Australian case study," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 12(3), pages 129-143, September.
    4. Eng, L. L. & Mak, Y. T., 2003. "Corporate governance and voluntary disclosure," Journal of Accounting and Public Policy, Elsevier, vol. 22(4), pages 325-345.
    5. David Aboody & Mary E. Barth & Ron Kasznik, 2004. "Firms' Voluntary Recognition of Stock‐Based Compensation Expense," Journal of Accounting Research, Wiley Blackwell, vol. 42(2), pages 123-150, May.
    6. Li-Qun Wei & Chung-Ming Lau, 2008. "The impact of market orientation and strategic HRM on firm performance: the case of Chinese enterprises," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(6), pages 980-995, September.
    7. Royston Greenwood & Stan X. Li & Rajshree Prakash & David L. Deephouse, 2005. "Reputation, Diversification, and Organizational Explanations of Performance in Professional Service Firms," Organization Science, INFORMS, vol. 16(6), pages 661-673, December.
    8. Venkatesh Shankar & Pablo Azar & Matthew Fuller, 2008. "—: A Multicategory Brand Equity Model and Its Application at Allstate," Marketing Science, INFORMS, vol. 27(4), pages 567-584, 07-08.
    9. Leuz, C & Verrecchia, RE, 2000. "The economic consequences of increased disclosure," Journal of Accounting Research, Wiley Blackwell, vol. 38, pages 91-124.
    10. Chi-Shiun Lai & Chih-Jen Chiu & Chin-Fang Yang & Da-Chang Pai, 2010. "The Effects of Corporate Social Responsibility on Brand Performance: The Mediating Effect of Industrial Brand Equity and Corporate Reputation," Journal of Business Ethics, Springer, vol. 95(3), pages 457-469, September.
    11. Cravens, Karen & Goad Oliver, Elizabeth & Ramamoorti, Sridhar, 2003. "The Reputation Index:: Measuring and Managing Corporate Reputation," European Management Journal, Elsevier, vol. 21(2), pages 201-212, April.
    12. Carol A. Adams, 2008. "A commentary on: corporate social responsibility reporting and reputation risk management," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 21(3), pages 365-370, March.
    13. Chen, Charles J. P. & Jaggi, Bikki, 2000. "Association between independent non-executive directors, family control and financial disclosures in Hong Kong," Journal of Accounting and Public Policy, Elsevier, vol. 19(4-5), pages 285-310.
    14. Avinandan Mukherjee & John M.T. Balmer, 2007. "Preface: New Frontiers and Perspectives in Corporate Brand Management: In Search of a Theory," International Studies of Management & Organization, Taylor & Francis Journals, vol. 37(4), pages 3-19, January.
    15. Jeffrey Unerman, 2008. "Strategic reputation risk management and corporate social responsibility reporting," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 21(3), pages 362-364, March.
    16. Dulacha G. Barako & Phil Hancock & H. Y. Izan, 2006. "Factors Influencing Voluntary Corporate Disclosure by Kenyan Companies," Corporate Governance: An International Review, Wiley Blackwell, vol. 14(2), pages 107-125, March.
    17. Cravens, Karen S. & Guilding, Chris, 1999. "Strategic brand valuation: A cross-functional perspective," Business Horizons, Elsevier, vol. 42(4), pages 53-62.
    18. Jan Bebbington & Carlos Larrinaga & Jose M. Moneva, 2008. "Corporate social reporting and reputation risk management," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 21(3), pages 337-361, March.
    19. Lev, B & Zarowin, P, 1999. "The boundaries of financial reporting and how to extend them," Journal of Accounting Research, Wiley Blackwell, vol. 37(2), pages 353-385.
    20. 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.
    21. Mooweon Rhee & Pamela R. Haunschild, 2006. "The Liability of Good Reputation: A Study of Product Recalls in the U.S. Automobile Industry," Organization Science, INFORMS, vol. 17(1), pages 101-117, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rupjyoti Saha & K. C. Kabra, 2020. "Corporate Governance and Voluntary Disclosure: A Synthesis of Empirical Studies," Business Perspectives and Research, , vol. 8(2), pages 117-138, July.
    2. Hichem Khlif & Kamran Ahmed & Mohsen Souissi, 2017. "Ownership structure and voluntary disclosure: A synthesis of empirical studies," Australian Journal of Management, Australian School of Business, vol. 42(3), pages 376-403, August.
    3. Roshayani Arshad & Rohaya Md Nor & Nur Adura Ahmad Noruddin, 2011. "Ownership Structure And Interaction Effects Of Firm Performance On Management Commentary Disclosures," Journal of Global Management, Global Research Agency, vol. 2(2), pages 124-145, July.
    4. Luminita Enache & Antonio Parbonetti & Anup Srivastava, 2020. "Are all outside directors created equal with respect to firm disclosure policy?," Review of Quantitative Finance and Accounting, Springer, vol. 55(2), pages 541-577, August.
    5. Sophie Audousset-Coulier, 2008. "Les déterminants de la publication volontaire des honoraires d'audit par les sociétés cotées françaises en 2002 et 2003," Post-Print halshs-00522305, HAL.
    6. Roshayani Arshad Author_Email: roshayani@salam.uitm.edu.my & Rohaya Md Nor & Nur Adura Ahmad Noruddin, 2011. "Ownership Structure And Interaction Effects Of Firm Performance On Management Commentary Disclosures," 2nd International Conference on Business and Economic Research (2nd ICBER 2011) Proceeding 2011-332, Conference Master Resources.
    7. Marco Allegrini & Giulio Greco, 2013. "Corporate boards, audit committees and voluntary disclosure: evidence from Italian Listed Companies," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 17(1), pages 187-216, February.
    8. Lopes, Patricia Teixeira & Rodrigues, Lucia Lima, 2007. "Accounting for financial instruments: An analysis of the determinants of disclosure in the Portuguese stock exchange," The International Journal of Accounting, Elsevier, vol. 42(1), pages 25-56.
    9. Rodríguez Domínguez, Luis & Noguera Gámez, Ligia Carolina, 2014. "Corporate reporting on risks: Evidence from Spanish companies," Revista de Contabilidad - Spanish Accounting Review, Elsevier, vol. 17(2), pages 116-129.
    10. Denis Cormier & Walter Aerts & Marie‐Josée Ledoux & Michel Magnan, 2010. "Web‐Based Disclosure About Value Creation Processes: A Monitoring Perspective," Abacus, Accounting Foundation, University of Sydney, vol. 46(3), pages 320-347, September.
    11. Marie Chavent & Yuan Ding & Linghui Fu & Herve Stolowy & Huiwen Wang, 2006. "Disclosure and determinants studies: An extension using the Divisive Clustering Method (DIV)," European Accounting Review, Taylor & Francis Journals, vol. 15(2), pages 181-218.
    12. Simona Alfiero & Massimo Cane & Ruggiero Doronzo & Alfredo Esposito, 2018. "Determining characteristics of boards adopting Integrated Reporting," FINANCIAL REPORTING, FrancoAngeli Editore, vol. 2018(2), pages 37-71.
    13. Giacomo Boesso & Kamalesh Kumar, 2007. "Drivers of corporate voluntary disclosure," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 20(2), pages 269-296, April.
    14. Collins G. Ntim & Kwaku K. Opong & Jo Danbolt & Dennis A. Thomas, 2012. "Voluntary corporate governance disclosures by post‐Apartheid South African corporations," Journal of Applied Accounting Research, Emerald Group Publishing Limited, vol. 13(2), pages 122-144, September.
    15. Miihkinen, Antti, 2013. "The usefulness of firm risk disclosures under different firm riskiness, investor-interest, and market conditions: New evidence from Finland," Advances in accounting, Elsevier, vol. 29(2), pages 312-331.
    16. Walid Ben‐Amar & Philip McIlkenny, 2015. "Board Effectiveness and the Voluntary Disclosure of Climate Change Information," Business Strategy and the Environment, Wiley Blackwell, vol. 24(8), pages 704-719, December.
    17. Stefano Fontana & Daniela Coluccia & Silvia Solimene, 2019. "VAIC as a Tool for Measuring Intangibles Value in Voluntary Multi-Stakeholder Disclosure," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 10(4), pages 1679-1699, December.
    18. Cheng, Eugene C.M. & Courtenay, Stephen M., 2006. "Board composition, regulatory regime and voluntary disclosure," The International Journal of Accounting, Elsevier, vol. 41(3), pages 262-289.
    19. Gisbert, Ana & Navallas, Begoña, 2013. "The association between voluntary disclosure and corporate governance in the presence of severe agency conflicts," Advances in accounting, Elsevier, vol. 29(2), pages 286-298.
    20. Liao, Lin & Luo, Le & Tang, Qingliang, 2015. "Gender diversity, board independence, environmental committee and greenhouse gas disclosure," The British Accounting Review, Elsevier, vol. 47(4), pages 409-424.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:crepre:v:20:y:2017:i:2:d:10.1057_s41299-017-0020-9. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.