Website-based investor relations: a comparison between developed and developing economies

Abstract

Purpose

This research aims to compare website-based investor relations (WIR) in developed and developing economies, represented by the US, UK, Hong Kong and mainland China.

Design/methodology/approach

A WIR level evaluation index consisting of 82 items was constructed, based on website content analysis. Item discrepancies caused by local contexts were considered in order to make the items applicable to all economies. Data were collected from the websites of companies listed in the Dow Jones Industry Average, the biggest 30 companies on the FTSE100, Hang Seng Index and China CNINFO40. The WIR levels of developed and developing economies were evaluated and compared under the index system. T-tests of differences between means were used to evaluate significance.

Findings

Listed companies' WIR levels were very similar between Hong Kong and mainland China as well as between the US and UK, but companies listed in the US and UK have a much higher level of WIR. The differences of WIR between developed and developing economies were very significant. Developed economies' WIR show many advanced features such as using real-time and being more complete, convenient, user-friendly, accurate and fair.

Originality/value

As a comparative study of WIR between developed and developing economies, the study is among the first in this field, especially in including mainland China.

Citation

Yanjie, F. and Wan, T. (2013), "Website-based investor relations: a comparison between developed and developing economies", Online Information Review, Vol. 37 No. 6, pp. 946-968. https://doi.org/10.1108/OIR-09-2012-0154