This paper examines the effect of social responsibility disclosure on corporate performance. It further examines the moderating effect of stakeholder influence capacity and the level of family ownership on the link between social responsibility disclosure and corporate performance. The statistical sample consists of companies listed on the stock exchanges of five Arab countries (including Saudi Arabia, the United Arab Emirates, Kuwait, Qatar, and Iraq) during 2015-2020. The hypotheses are tested using multiple regressions. Results show that there is a positive significant relationship between social responsibility disclosure and corporate performance. Moreover, the moderating effect of the stakeholder influence capacity is limited to customers’ influence capacity. The results also reveal that the level of family ownership strengthens the impact of social responsibility disclosure on corporate performance. The results are robust to a variety of sensitivity tests.
Keywords: social responsibility; performance, sustainable development; environmental stakeholders, Energy