This study provides empirical evidence on how corporate sustainability performance (CSP), as proxied by membership of the Dow Jones Sustainability Index, is reflected in the market value of equity. Using a theoretical framework combining stakeholder theory and resource-based perspectives, we develop a set of hypotheses that relate the market value of equity to CSP. For a sample of North American firms, our preliminary results show that CSP has significant explanatory power for stock prices over the traditional summary accounting measures such as earnings and book value of equity. However, further analyses suggest that we should not focus on corporate sustainability itself. Our findings suggest that what investors really do is to undervalue large profitable firms with low level of CSP. Firms with incentives to develop a high level of CSP not engaging on such strategy are, thus, penalized by the market.

Purpose – The paper aims to analyse the engagement in sustainability reporting assurance (SRA) by a sample of Portuguese firms between 2008 and 2011. Design/methodology/approach – Bivariate and multivariate non-parametric statistics is used to analyse some factors that influence the decision to have sustainability reports assured. Findings – Results indicate that size, leverage, profitability, listing status and industrial affiliation are determinants of SRA, whereas type of ownership is not. A downward trend in sustainability reporting and its assurance was also detected. Research limitations/implications – The sample is small. Originality/value – It adds to the scarce research on SRA by providing new empirical data in a context of crisis and extends prior research by analysing the effects of listing status and type of ownership.

This study presents a literature review of environmental reports based on papers published in 20 accounting journals between 2006 and 2015. A majority of the papers were published in journals, such as Accounting, Auditing & Accountability Journal, Accounting Forum, Critical Perspectives on Accounting, and Accounting, Organizations and Society. For each article, the aims and results obtained, methodologies adopted, data sources, industrial sectors, and countries involved were identified. Most of the studies present a longitudinal approach and use content analysis as their methodology. The most extensively used theories are the legitimacy and stakeholders theories. The purpose of this study is to contribute to the reflection of the state of the art of research in social and environmental accounting.

Purpose -The last years have witnessed a growth in interest in social and environmental questions. Many companies have developed environmental management and auditing systems and altered their social and environmental disclosure practices. These developments resulted in the growth of research focusing on the analysis of information disclosed by companies. The purpose of this study is to contribute a reflection on the papers that have been published on social and environmental accounting from 2000 to 2006.Design/methodology/approach -A literature review of the papers examining social and environmental matters published in selected accounting journals allows the identification of the key content issues, methodologies and research questions which have been predominant in the social environmental accounting research (SEAR) area. It also enables one to pin-point areas for future research.Findings -The content was examined and classified in four groups: social and environmental accounting systems; social and environmental disclosures; regulation impact; and relations among environmental disclosure and environmental performance. For each group, the research method; data origins and type of data; industry and country were identified. Almost all the studies are based on content analysis and interviews. Data are collected not only from the financial statements but also from other types of information disclosed by companies. In many cases, industry activities are selected carefully and most of the studies used data from the UK, Australia, and the USA.Originality/value -The paper provides a contribution to the development of the SEAR area, exploring different views. It also helps schools to identify areas for future research.

Purpose – The purpose of this paper is to provide a descriptive comprehensive analysis of sustainability reporting (SR) and assurance in Portugal after the onset of the most recent economic crisis. Design/methodology/approach – The authors analyze 290 sustainability reports for the years 2008, 2009, 2010 and 2011, and find those that include assurance statements and characterize them. Findings – The authors present evidence supporting the view that the Portuguese sustainability reporting assurance (SRA) market follows the international trends and suggest that the most recent economic crisis had a negative effect in terms of publication of sustainability reports but not in terms of its quality and assurance. Research limitations/implications – The authors merely provide descriptive evidence of SR and the assurance thereof in Portugal. Originality/value – The authors contribute significantly to the literature on SRA in peripheral countries and in the period of crisis.