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Investigating biodiversity and circular economy disclosure practices: Insights from global firms

Author

Listed:
  • Lee Roberts
  • Nikoletta Georgiou
  • Abeer Mohamed Hassan

Abstract

Business activity has contributed to biodiversity loss. The Circular Economy (CE) system is recommended as a way of recovery and to improve global resilience. Combining accounting and ecology, we examine the intersectionality between biodiversity and CE. Therefore, the research aims to investigate the companies' reporting practices on both CE system implemented, and the corrective actions taken to repair biodiversity. To achieve the research aim, we developed a new disclosure index that includes both biodiversity and CE measures. Data is collected from 28 companies operating in three different industries sectors (aerospace and defense, motor vehicle and parts, and transportation) for 4 years (2012, 2014, 2016 and 2018). Our results show, in general, the overall scoring of disclosures is low, with companies providing minimal and vague information and many companies scored ZERO in all of our disclosure items showing that companies have a lack of knowledge on the biodiversity and CE concept. However, there is an increase in the level of disclosures on both biodiversity and CE between 2012, 2014, and 2016 and there is a small decrease for the 2018. Furthermore, the Motor industry is providing more disclosure on both biodiversity and CE, followed by Aerospace & Defense and Transportation industry was the lowest in providing disclosure on both biodiversity and CE. Our study contributes to both biodiversity and CE literature as well as providing some insights on the interconnection of both concepts which is crucial for the future sustainable development.

Suggested Citation

  • Lee Roberts & Nikoletta Georgiou & Abeer Mohamed Hassan, 2023. "Investigating biodiversity and circular economy disclosure practices: Insights from global firms," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(3), pages 1053-1069, May.
    • Handle: RePEc:wly:corsem:v:30:y:2023:i:3:p:1053-1069
    DOI: 10.1002/csr.2402
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    References listed on IDEAS

    as
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    Cited by:

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    2. Vitiana L'Abate & Nicola Raimo & Benedetta Esposito & Filippo Vitolla, 2024. "Examining the impact of circular economy disclosure on the cost of debt: A signaling theory approach via social media," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(5), pages 4007-4019, September.
    3. Tania Pinto & Telmo Machado & Diana Nicolau & Nuno Gaspar Oliveira & Ana Sofia Vaz, 2024. "Accounting for nature contributions to people in corporate sustainability: The case of a waste management company in Portugal," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(4), pages 2619-2628, July.
    4. Vitiana L'Abate & Nicola Raimo & Francesco Albergo & Filippo Vitolla, 2024. "Social media to disseminate circular economy information. An empirical analysis on Twitter," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(1), pages 528-539, January.

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