The Impact of firm characteristics and corporate governance on the extent of corporate internet reporting on selected listed companies in the Philippnes

• Main Authors: Cabero, Moses Abraham P., Madrid, Kristine Joy C., Martinez, Baby Diane A., Tiu, Annica Kirstine J.
• Format: text
• Language: English
• Published: Animo Repository 2011
• Subjects: Corporate governance; Corporate reports; Corporations > Accounting; Financial statements; Disclosure in accounting > Philippines
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/14705
• Institution: De La Salle University

This paper purports to determine the factors that could significantly determine extent of corporate internet reporting (CIR) by listed companies in the Philippine Stock Exchange. The factors tested are firm size, profitability, leverage, liquidity, industry type, auditor size and foreign listing. A cross section of a sample of 100 companies listed in the stock exchange is determined. This paper uses with few modifications the disclosure index employed by Xiao et al. Ordinary Least Squares Multiple Regression is employed to examine the determinants. The studies show that 84 percent of listed companies in the Philippines have corporate websites. Results using multiple regression analysis disclose that independent variables, namely leverage, auditor's size, industries' holding firms, services and mining and oil, and foreign listing significantly affect the extent of CIR of listed companies in the Philippines. Employing the Kruskall Wallis test, the group's findings has determined that there is not much difference in terms of extent of CIR among the five industries. This study is vital as it can assist regulators in the Philippines in identifying companies not complying with the necessary disclosure requirements particularly firms whose stocks are publicly-traded. This is also significant to current and potential stakeholders as it gives them information on what drives CIR in the Philippines. Furthermore, in actual practice, CIR facilitates better decision-making for investors and other stakeholders. This study also aids future researchers who would want to conduct a similar study in another country.