PENGARUH KARAKTERISTIK PERUSAHAAN, TEKANAN STAKEHOLDER TERHADAP KUALITAS SUSTAINABILITY REPORT MELALUI KINERJA KEUANGAN

Abstract

This research aimed to examine the effect of companies’ characteristics and stakeholder’s pressure on the quality of sustainability report with financial performance as an intervening variable. The companies’ characteristics were measured by logaritm natural from their total asset, also the components of stakeholder’s pressure consisted of environment, employees, consumers, and stakeholder’s pressure. While the profitability was measured by Return on Asset which used as a financial performance’s component. The research was quantitative. Moreover, the population was all Food and Beverages companies which were listed on Indonesia Stock Exchange 2018-2020. Furthermore, the data collection technique used purposive sampling with 19 companies which fulfilled the criteria given during 3 years. In total, there were 57 companies as a sample. Additionally, the data analysis technique used Partial Least Square (PLS). The research result concluded that there was a negative effect of companies’ characteristics on financial performance. Likewise, there was a negative effect of the quality of sustainability report either from stakeholder’s pressure or financial performance. On the other hand, there was a positive effect of stakeholder’s pressure on financial performance. Also, there was a positive effect between companies’ characteristics and quality of sustainability report. Similarly, there was a positive effect of intervening variables either from companies’ characteristics or stakeholder’s pressure which was mediated by financial performance.