Corporate-NGO collaboration and CSR disclosure - the moderating role of corporate profitability

Purpose This research investigates the influence of corporate-NGO collaborations on corporate social responsibility (CSR) disclosure measured in three different ways (i.e. extent, level and quality) in low-income developing economies. Additionally, it examines the moderating effect of corporate profitability in the relationship between corporate-NGO collaborations and CSR disclosure.Design/methodology/approach This research uses multivariate regression analysis based on data collected from 201 non-financial firms listed on the Pakistan Stock Exchange (PSE).Findings The findings reveal that corporations with NGO partnerships are more likely to disclose CSR information and provide high-quality information regarding workers, the environment and community-related issues. Further, corporate profitability positively moderates the corporate-NGO collaborations and CSR disclosure relationship.Research limitations/implications Research limitations are presented in the conclusion section.Practical implications The findings underline the crucial significance of NGOs and their associated normative isomorphism logics for CSR disclosure in low-income countries with weak law enforcement and relatively ineffective state institutions, which were previously believed to lack such institutions.Originality/value While some research has suggested that companies in developing countries perceive significant pressure from NGOs to adopt social disclosure, no study has specifically explored how internally driven corporate-NGO collaboration (as opposed to external NGO activist pressures) promotes CSR disclosure specifically in developing economies.