Year: 2026
Type: article
Abstract: This study examines whether and how board composition influences the readability of corporate sustainability reports. Using a sample of 1,334 firm-year observations from S&P 500 companies between 2016 and 2023, we investigate the relationship between board characteristics and report readability while controlling for firm-specific factors. Contrary to conventional wisdom, we find no statistically significant evidence that board-level characteristics, including gender diversity and board size, directly influence sustainability report readability. Our findings suggest that report readability is more likely influenced by operational-level factors than board-level governance structures. These results contribute to the literature on corporate governance and sustainability reporting by challenging existing assumptions about the direct role of board composition in determining reporting quality. Our study has important implications for understanding the mechanisms through which organizational governance affects sustainability disclosure practices.
DOI: 10.33423/mq2gx162
Authors: Jui-Chu Tien, Yu-Xuan Huang
Institution: I-Shou University
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: bronze
OpenAlex ID: W7225568914