Investor response to corporate social responsibility performance: The role of corporate social responsibility reports readability

This paper presents empirical evidence regarding the impact of corporate social responsibility (CSR) readability on investor responses to CSR performance. The findings suggest that higher CSR performance contributes to increased share returns and trading volume, and CSR readability amplifies this effect. Investors are optimistic about companies with easy-to-read CSR reports due to the strong association of CSR performance with financial performance. Companies with CSR activities should take steps to regulate and improve the readability of CSR reports.