An assessment of CSR reporting practice in China's mining and minerals industry

Date

2012

Authors

Dong, S.
Burritt, R.
Qian, W.

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Conference paper

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Proceedings of the 11th Australasian Centre on Social and Environmental Accounting Research (ACSEAR) Conference, 2012

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11th ACSEAR conference (2 Dec 2012 - 4 Dec 2012 : Wollongong, New South Wales)

Abstract

Purpose - This study assesses the current status of CSR reporting practice in China’s mining and minerals industry during 2007 – 2010. Design/methodology/approach - A sample of 176 mining and minerals companies listed on China’s domestic stock exchanges – Shanghai and Shenzhen stock exchanges is selected. Content analysis has been conducted to extract disclosure quantity, quality and contents from both corporate annual reports and CSR reports. The corporate reports are then assessed against the domestic CSR reporting framework – ‘Chinese CSR Report Preparation Guide (CASS-CSR 1.0)’. Findings - The study identifies that there is a dramatic increase in the number of reporting companies; disclosure quantity; and quality in China’s mining and minerals industry. The result is well coincident with the phase in historical development of CSR reporting in China – the rapid development of CSR reporting practice during the period of ‘building a harmonious society’ (mid 2000s – 2010). However, the disclosure quantity and quality still need considerable improvement. Originality/value – This study adds to empirical evidence about the status of CSR reporting practice in the context of a developing country and an environmentally sensitive industry in particular, using an indigenous reporting guidance. The study supports that the current CSR reporting practice in China’s mining and minerals industry can be characterized as a high level concern with the issue but a low level engagement with improving the reporting substance. Therefore, the usefulness of ascertained level of disclosures for various stakeholders’ information demands and decision-making is in doubt.

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Copyright 2012 University of Wollongong

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