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Influence of Firm Size on the Environmental Disclosure and Performance of the Listed Companies on the Stock Exchange of Thailand

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Responsible Business in a Changing World

Part of the book series: CSR, Sustainability, Ethics & Governance ((CSEG))

Abstract

The aim of this research is to investigate the relationship between environmental disclosure and financial performance of different firm sizes listed on the stock exchange of Thailand. This was achieved through the multiple indicator and multiple cases model (MIMIC) of 402 companies listed on the stock exchange of Thailand.

The findings reveal that firm size influences the environmental disclosure (ENVD) of firms. Furthermore, environmental disclosure has a positive effect on firm performance, with a significance level of 0.01 and correlation coefficient of 0.51.

The analysis of firm size in this study indicates that small-sized (SIZES) firms have low levels of environmental disclosure. The statistical result indicates that the environmental disclosure mechanism of small-sized firms has an indirect, negative effect on financial performance, with a significance level of 0.01 and correlation coefficient of 2.36. In comparison, medium (SIZEM) and large-sized (SIZEL) firms are increasingly trending towards environmental disclosure. The statistical result indicates that the effect of size on environmental disclosure in medium and large companies has an indirect, positive effect on firms’ financial performance, with a significance level of 0.01 and correlation coefficient of 1.00 and 2.35 respectively.

The findings of this research are expected to increase opportunities for firms of various sizes (as listed on the Stock Exchange of Thailand) to improve financial performance through the use of environmental disclosure.

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Author information

Authors and Affiliations

  1. Rajamangala University of Technology Suvarnabhumi (RMUTSB), Phra Nakhon Si Ayutthaya, Thailand

    Dararat Phoprachak

  2. Faculty of Business Administration, Northeastern University, Khon Kaen, Thailand

    Theenida Buntornwon

Authors
  1. Dararat Phoprachak
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  2. Theenida Buntornwon
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Editor information

Editors and Affiliations

  1. Faculty of Economics and Business, University of Cantabria, Santander, Spain

    Belén Díaz Díaz

  2. Faculty of Economics and Business, Loyola University New Orleans, New Orleans, USA

    Nicholas Capaldi

  3. London Metropolitan University, London Guildhall Faculty Business & Law, London, UK

    Samuel O. Idowu

  4. Cologne Business School, Cologne, Germany

    René Schmidpeter

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Phoprachak, D., Buntornwon, T. (2020). Influence of Firm Size on the Environmental Disclosure and Performance of the Listed Companies on the Stock Exchange of Thailand. In: Díaz Díaz, B., Capaldi, N., Idowu, S.O., Schmidpeter, R. (eds) Responsible Business in a Changing World. CSR, Sustainability, Ethics & Governance. Springer, Cham. https://doi.org/10.1007/978-3-030-36970-5_9

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