Assessing the Relationship Between Information Transparency Through Social Media Disclosure and Firm Value

Abstract

The aim of this paper is to investigate the relationship between social media financial disclosure and firm value of the GCC listed firms. To answer to research questions, the researchers collected cross-sectional data from a sample of 241 firms listed in the financial stock markets of the GCC for the year 2017. An Index was used to calculate the total level of social media financial disclosure where the SMFD for each firm was calculated by dividing the total earned scores of the firm by the total maximum possible scours appropriate for the firm. The findings show that the 84% of firms in the GCC countries use social media, while 70% of these firms use SM for financial disclosure. The results also confirm the hypothesis that enhanced disclosure levels through various social media channels of GCC listed firms significantly influence the firm value of these firms. These results have implications for both social media disclosure literatures and value relevance literatures in the GCC countries.

أثر الإفصاح المحاسبی عبر الإنترنت ووسائل التواصل الاجتماعی علی تکلفة رأس المال فی ظل عدم التماثل فی المعلومات بالتطبیق على الشرکات المقیدة بالبورصة المصریة

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