World Scientific Publishing, Review of Pacific Basin Financial Markets and Policies, 02(19), p. 1650012
DOI: 10.1142/s0219091516500120
Full text: Unavailable
In this paper, we propose a quantitative approach to measure the extent of corporate culture disclosure. Using this new measure, we document that corporate culture disclosure and performance is positively correlated in terms of stock return, return on assets, cash flow, earnings growth, sales growth, return on sales, and turnover; corporate culture disclosure also helps to lower the negative impact of missing earnings benchmarks using a sample of Chinese firms. In addition, we find that the extent of corporate culture disclosure is negatively correlated with earnings management and operational risk exposure. Essentially, our comprehensive analysis provides a good illustration of using the method to measure corporate culture disclosure.