Black economic empowerment disclosures by South African listed corporations: The influence of ownership and board characteristics

Ntim, Collins G. and Soobaroyen, Teerooven (2013) Black economic empowerment disclosures by South African listed corporations: The influence of ownership and board characteristics. Journal of Business Ethics, 116, (1), 121-138. (doi:10.1007/s10551-012-1446-8).


[img] Microsoft Word
Download (356Kb)


This study investigates the extent to which South African listed corporations voluntarily disclose information on black economic empowerment (BEE) in their annual and sustainability reports using a sample of 75 listed corporations from 2003 to 2009. BEE is a form of socio-economic affirmative action championed by the African National Congress (ANC)-led government to address historical imbalances in business participation and ownership in South Africa. We find that block ownership and institutional ownership are negatively associated with the extent of BEE disclosures, whereas government ownership, board diversity (age, education, ethnicity, nationality and occupation), board size and non-executive directors are positively related to the extent of BEE disclosures. By contrast, dual board leadership structure and gender diversity are not significantly associated with BEE disclosures. Our results are robust when controlling for firm-level characteristics, fixed-effects and alternative disclosure proxies. Our results are largely consistent with the predictions of agency, legitimacy, resource dependence and stakeholder theories.

KEY WORDS: annual and sustainability reports; black economic empowerment; corporate social responsibility disclosures; ownership and board characteristics; South Africa.

Item Type: Article
Digital Object Identifier (DOI): doi:10.1007/s10551-012-1446-8
ISSNs: 0167-4544 (print)
1573-0697 (electronic)
Related URLs:
Subjects: H Social Sciences > HF Commerce > HF5601 Accounting
Divisions : Faculty of Business and Law > Southampton Business School > Centre of Excellence for International Banking, Finance & Accounting
ePrint ID: 343001
Accepted Date and Publication Date:
11 September 2013Published
Date Deposited: 20 Sep 2012 09:32
Last Modified: 30 Sep 2016 18:04

Actions (login required)

View Item View Item

Downloads from ePrints over the past year. Other digital versions may also be available to download e.g. from the publisher's website.

View more statistics