Corporate social responsibility (CSR) disclosures have gained great attention in both the media and the academic community for many decades. In this paper, we shed light on three aspects of CSR disclosures, namely the determinants , measure and impact on firm value . Using a sample of 61 firms listed on the ADX for the period 2010–2014 and computing an eight‐item index, our results are conclusive and show that listing history, governmental sector, board size, financial leverage and firm size have a positive impact on CSR disclosures. By contrast, firm profitability, industrial sector and ownership concentration have no impact on the extent of CSR disclosures. Finally, CSR disclosures have no impact on firm value as proxied by market‐to‐book ratio. Our results remain unchanged using additional robustness checks. Our study highlights the three aspects of social disclosures (i.e. determinants, measure and impact) in an emerging stock market (ADX). Our findings will help investors when assessing firm value and policy makers when issuing CSR disclosure rules.
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Kolsi et al. (2018) studied this question.