Logo image
Executives' excess compensation, legitimacy, and environmental information disclosure in Chinese heavily polluting companies: The moderating role of media pressure
Journal article   Peer reviewed

Executives' excess compensation, legitimacy, and environmental information disclosure in Chinese heavily polluting companies: The moderating role of media pressure

Q. Li, T. Li, H. Chen, E. Xiang and W. Ruan
Corporate Social Responsibility and Environmental Management, Vol.26(1), pp.248-256
2019
url
Link to Published Version *Subscription may be requiredView

Abstract

This study examines whether executives justify their excess compensation through environmental information disclosure using a sample of listed companies in China's heavily polluting industries from 2010 to 2014. We find that executives' excess compensation is positively related to the quality of environmental information disclosure. The above relationship is significant in cases with strong demand for compensation justification (i.e., state-owned enterprises and firms where an internal compensation gap is salient), indicating that executives manipulate environmental information disclosure about their companies according to their purposes. We also find that media pressure weakens the above relationship. A further test affirms a differential influence of media pressure in settings that involve public or private ownership, development of markets, and low or high product market competition. This study reveals a self-serving motive of executives for environmental information disclosure. The findings of this study have practical implications for regulators, shareholders, and managers.

Details

UN Sustainable Development Goals (SDGs)

This output has contributed to the advancement of the following goals:

#9 Industry, Innovation and Infrastructure

Source: InCites

Metrics

InCites Highlights

These are selected metrics from InCites Benchmarking & Analytics tool, related to this output

Collaboration types
Domestic collaboration
International collaboration
Citation topics
6 Social Sciences
6.3 Management
6.3.385 Corporate Social Responsibility
Web Of Science research areas
Business
Environmental Studies
Management
ESI research areas
Economics & Business
Logo image