CSRD traditional and contextual influencing factors: the case of Saudi Arabia

Figures & data

Table 1. Summary of previous empirical CSRD research based in KSA.

Authors	Period	Sample (sectors)	Methodology (content analysis: EQ versus UEQ)	Theory	Data source	CSRD index	CSRD average findings	Firm characteristics findings (impact sign)	Remarks
Macarulla and Talalweh (2012)	2008	138 observations (all sectors)	Quantitative (EQ)	Stakeholder, social responsibility, and legitimacy theories	Annual reports and firms’ websites	23 CSRD items derived from Western literature	16%	PROF (+) FSIZE (+) IND (+)	The authors examined only few firms’ websites in addition to annual reports for CSRD
Al-Janadi et al. (2013)	2006–2007	87 observations (all sectors)	Quantitative (UEQ)	Agency, resource dependence, and information asymmetry theories	Annual reports	9 CSRD items derived from Western literature	14.61%	BSIZE (+) BIND (+) BIG 4 (+) DUAL (+) GOV OWN (–)	The authors examined voluntary disclosures (including 9 CSRD), after the 2006 CGR was effective
Abdulhaq and Muhamed (2015)	2012–2013	326 observations (all sectors)	Quantitative (EQ)	Agency, political, stakeholder, and legitimacy theories	Annual reports and firms’ websites	44 CSRD items derived from studies based in emerging, Arab, and/or Islamic countries	36%	FSIZE (+) OWN CONC (+) IND (–)	The authors examined CSRD after the 2006 CGR was effective
Habbash (2016)	2007–2011	267 observations (nonfinancial sectors)	Quantitative (EQ)	Agency theory	Annual reports	17 CSRD items derived from ISO 26000	24%	GOV OWN (+) FAM OWN (+) FSIZE (+) FAGE (+) LEV (–)
Alotaibi and Hussainey (2016)	2013–2014	171 observations (nonfinancial sectors)	Quantitative and qualitative (EQ and UEQ)	Agency, signaling, legitimacy, and stakeholder theories	Annual reports	40 CSRD items derived from Western literature with 4 Saudi-specific related items	Quantity: 9.43% Quality: 0.33%	BSIZE (+) AC SIZE (+) BIND (–) RC SIZE (–) GOV OWN (–) MGM OWN (+) FSIZE (+) LEV (–) DIVI (–)	The authors examined CSRD after the 2012 CGR was effective
Al-Gamrh and Al-Dhamari (2016)	2008	93 observations (nonfinancial sectors)	Quantitative (EQ)	Signaling, agency, political cost, capital needs, and legitimacy theories	Annual reports	25 CSRD items derived from Western literature	15.4%	GOV OWN (+) FSIZE (+) FAGE (+)
Issa (2017)	2012–2014	109 observations (nonfinancial sectors)	Quantitative (UEQ)	Agency, signaling, stakeholder, stewardship, and resource-dependence theories	Annual reports	42 CSRD items derived from the GRI (G4) guidelines	11%	BIND (–) PROF (+) FSIZE (+) IND (+)
Mahjoub (2019)	2015–2017	267 observations (nonfinancial sectors)	Quantitative (UEQ)	Agency, resource-dependence, signaling, and legitimacy theories	Annual reports and CSR reports	37 CSRD items derived from the GRI and ISO 26000, with 2 items related to Saudi-specific issues	None	PROF (+) FSIZE (+) IND (+)	The author did not provide CSRD average, but advised that CSRD is increasing over time
Boshnak (2021)	2016–2018	210 observations (nonfinancial sectors)	Quantitative (EQ)	Stakeholder and legitimacy theories	Annual reports	31 CSRD items derived from the GRI (G4) guidelines	68%	FSIZE (+) LEV (+) IND (+) GOV OWN (+) FAM OWN (–)	The author examined CSRD considering the implementation of both the 2017 CGR and IFRS in 2017

Note: EQ: equal weighting; UEQ: unequal weighting; BSIZE: board size; BIND: board independent non-executive directors; BIG 4: big 4 audit firms; DUAL: CEO duality; IND: industry sectors; GOV OWN: government ownership; OWN CONC: ownership concentration; FAM OWN: family ownership; MGM OWN: managerial ownership; AC SIZE: audit committee size; RC: remuneration committee; FSIZE: firm size; PROF: profitability; LEV: leverage; DIVI; dividends.

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