Internal determinants of corporate environmental reporting: A systematic literature review

Résumé

Abstract

The growing importance of environmental transparency has led to increasing academic interest in corporate environmental reporting. The study aims to identify and synthesize firm-level factors influencing environmental reporting practices.

To achieve this objective, a systematic literature review was conducted based on the analysis of empirical studies examining the internal determinants of corporate environmental reporting. 

The results of the study indicate that research related to environmental reporting focuses on eight internal determinants, namely: firm size, firm age, firm sector, firm profitability, firm environmental performance, firm leverage, firm governance structure and firm ownership structure. The review reveals that firm size, firm age, firm sector, and firm environmental performance are positively associated with the quality of environmental reporting. In addition, corporate governance structure, particularly board diversity and the existence of an environmental committee, appears to play a significant role in enhancing the environmental transparency. The results also reveal that ownership structure has a role, as both state ownership and foreign ownership are positively related to the quality of environmental reporting.

The principal conclusion of this study is that the empirical literature does not provide fully consistent evidence regarding the internal factors influencing corporate environmental reporting, although some factors appear more frequently associated with it.

This study contributes to the literature by providing a structured synthesis of internal determinants of corporate environmental reporting and by highlighting gaps for future research.

Keywords

Corporate environmental reporting; Corporate environmental disclosure; Environmental transparency; Internal determinants; Systematic literature review.