Does corporate governance influence readability of the report by the chairman of the board of directors? The case of Jordanian listed companies
This study investigates whether readability of the president's statement is linked toboth company performance and factors related to corporate governance in an emerg-ing market context. We analyse Jordanian manufacturing companies listed on theAmman Stock Exchange (ASE) during the period 2017–2...
| Autores: | , , |
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| Tipo de recurso: | artículo |
| Fecha de publicación: | 2024 |
| País: | España |
| Institución: | Universidad Autónoma de Madrid |
| Repositorio: | Biblos-e Archivo. Repositorio Institucional de la UAM |
| Idioma: | inglés |
| OAI Identifier: | oai:repositorio.uam.es:10486/711340 |
| Acceso en línea: | http://hdl.handle.net/10486/711340 https://dx.doi.org/10.1002/csr.2752 |
| Access Level: | acceso abierto |
| Palabra clave: | Board of Directors Chairman's Statement Corporate Governance Firm Performance Listed Manufacturing Companies Readability Economía |
| Sumario: | This study investigates whether readability of the president's statement is linked toboth company performance and factors related to corporate governance in an emerg-ing market context. We analyse Jordanian manufacturing companies listed on theAmman Stock Exchange (ASE) during the period 2017–2021. An exploratory studyusing panel data from ASE, parametric correlations, and regression models shows therelationship between readability of the president's statement, corporate governance,and characteristics of the board of directors. The results indicate that corporate gov-ernance significantly moderates readability of the president's statement and thefirm's performance. The results also show a relationship between readability of thechairman's statement and directors' accounting experience and confirm that indepen-dence of the board of directors and concentration of ownership affect readability ofthe accounting disclosures in the chairman's statement. Finally, poor board compli-ance significantly mitigates the association between board features and readability ofthe chairman's statement. These findings help to explain how and why firms adjusttheir information disclosure and transparency practices, affecting corporate reportingcredibility and efficacy. This study is one of few to examine how board featuresaffect readability of the president's statement within the Jordanian legal framework,which is plagued by poor board compliance due in part to constant amendments |
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