The Effect of Disclosing the Social, Environmental and Economic Dimensions on the Profitability of the Services Sector Companies Listed on the Amman Stock Exchange

Sameer Ahmad Hmoud Alamro; Belal Yousef Al Smirat; Taha Barakat Al-Shawawreh

doi:10.26668/businessreview/2023.v8i9.3693

Authors

Sameer Ahmad Hmoud Alamro https://orcid.org/0000-0002-4676-0553
Belal Yousef Al Smirat
Taha Barakat Al-Shawawreh

DOI:

https://doi.org/10.26668/businessreview/2023.v8i9.3693

Keywords:

Amman Stock Exchange, Service Sector

Abstract

Purpose: Examine the influence of disclosing social, environmental, and economic activities on profitability in the services sector on the Amman Stock Exchange.

Theoretical Framework: Explore theoretical underpinnings connecting disclosure of social, environmental, and economic activities to business profitability, drawing from corporate responsibility, sustainability, and financial theories.

Methodology: Utilized a questionnaire distributed to Jordanian service sector firms' auditors and financial managers, employing simple random sampling. Focused on variables related to social, environmental, and economic disclosure.

Findings: Positive link between social disclosure and profitability, attributed to fair service distribution and indirect employee support. Environmental disclosure positively affects profits through resource optimization and reduced pollution. Economic disclosure correlates positively with profitability by influencing pricing and product design.

Conclusion: Disclosing social, environmental, and economic activities significantly impacts profitability in Amman Stock Exchange-listed service sector firms, emphasizing equitable services, resource efficiency, and strategic economic disclosure.

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