Evaluate the Impact of the Type of Business Strategy on the Readability of Disclosure of Financial Statements of Companies Listed on the Tehran Stock Exchange

Subject Areas : Financial Accounting

Zahra  Mousavi ¹ (Department of Accounting, Ahvaz Branch, Islamic Azad University, Ahvaz, Iran)
Ahmad  Kaabomeir ² (Department of Accounting, Ahvaz Branch, Islamic Azad University, Ahvaz, Iran)
Saeed  Nasiri ³ (Department of Accounting, Ahvaz Branch, Islamic Azad University, Ahvaz, Iran)

Received: 2021-10-15 Accepted : 2022-02-01 Published : 2023-05-01

Keywords: defensive strategy, Disclosure, Financial Reporting, readability, Financial Flexibility,

Abstract :

So far, readabilityof disclosure concepts and the behavioral features of investors have not been addressed appropriatedly in Iran despite their importance and there is not even a suitable tool to measure it in the country. Therefore, it seems necessary to conduct research in Iran to introduce the concept of disclosure readability, its measurement and the impact of business strategy on the readabilityof disclosure of financial statements. Therefore, the current paper evaluated the effect of the type of business strategy on the readability of financial statements of companies listed on the Tehran Stock Exchange. This is an applied causal (post-event) correlational paper. The statistical population of the study is all companies listed on the Tehran Stock Exchange. Using the systematic elimination sampling method, 129 companies were selected as the research sample and were surveyed in a period of 5 years from 2015 to 2019. EViews 9 and regression were used to test the research hypotheses. The results show that the type of business strategy affects the readability of financial statements of companies listed on the Tehran Stock Exchange.

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