IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/29800.html
   My bibliography  Save this paper

The Expectation Gap in Internet Financial Reporting: Evidence from an Emerging Capital Market

Author

Listed:
  • Turel, Asli

Abstract

The development of the internet as a global medium has significantly impacted financial reporting environment of the companies. Recently, companies have started reporting their financial results and other information relating to business on their web pages. The internet offers the facility to provide all interested groups with information to make well-informed, timely investment decision thus reducing the information advantages of institutional investors and information intermediaries. This study examines the level of internet financial reporting in Turkey. Furthermore, it tries to find out whether there is an expectation gap in internet financial reporting. In this study, “expectation gap” refers to the difference between (1) what financial statement users perceive important in decision making process to be and (2) what companies actually disclose or present in their web pages. Our findings indicate that an expectation gap exists; financial statement users have higher expectations for various facets than what companies actually report in the areas such as; reports of analysts, phone number to investor relations, segmental reporting, financial data in processable format, and summary of financial data. Our findings serve as evidence that the companies should engage in appropriate actions to reduce this expectation gap.

Suggested Citation

  • Turel, Asli, 2010. "The Expectation Gap in Internet Financial Reporting: Evidence from an Emerging Capital Market," MPRA Paper 29800, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:29800
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/29800/1/MPRA_paper_29800.pdf
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    as
    1. 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.
    2. 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.
    3. T. E. Cooke, 1998. "Regression Analysis in Accounting Disclosure Studies," Accounting and Business Research, Taylor & Francis Journals, vol. 28(3), pages 209-224, February.
    4. Dutta, Probal & Bose, Sudipta, 2007. "Web-based Corporate Reporting in Bangladesh:An Exploratory Study," MPRA Paper 7915, University Library of Munich, Germany.
    5. Spanos, Loukas & Mylonakis, John, 2006. "Internet corporate reporting in Greece," MPRA Paper 42997, University Library of Munich, Germany.
    6. B. M. Craven & C. L. Marston, 1999. "Financial reporting on the Internet by leading UK companies," European Accounting Review, Taylor & Francis Journals, vol. 8(2), pages 321-333.
    7. 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.
    8. Catherine Gowthorpe & Oriol Amat, 1999. "External reporting of accounting and financial information via the Internet in Spain," European Accounting Review, Taylor & Francis Journals, vol. 8(2), pages 365-371.
    9. Xiao, Jason Zezhong & Yang, He & Chow, Chee W., 2004. "The determinants and characteristics of voluntary Internet-based disclosures by listed Chinese companies," Journal of Accounting and Public Policy, Elsevier, vol. 23(3), pages 191-225.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mary Kehinde Salawu, 2013. "The Extent and Forms of Voluntary Disclosure of Financial Information on Internet in Nigeria: An Exploratory Study," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 4(1), pages 110-119, January.
    2. Aslihan E. Bozcuk, 2012. "Internet financial reporting: Turkish companies adapt to change," Managerial Finance, Emerald Group Publishing, vol. 38(8), pages 786-800, June.

    More about this item

    Keywords

    Internet; Financial Reporting; Turkey;

    JEL classification:

    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • M4 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting

    Statistics

    Access and download statistics

    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:pra:mprapa:29800. 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: (Joachim Winter) or (Rebekah McClure). General contact details of provider: http://edirc.repec.org/data/vfmunde.html .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.