Literature Review on The Effect of Firm Size on Carbon Emission Disclosure (CED)

Abstract

Carbon Emission Disclosure (CED) is a transparent disclosure related to environmental activities for the sake of reputation and business continuity is closely related to Stakeholder Theory that companies must also pay attention to stakeholders. This research aims to conduct a comprehensive literature study on the effect of firm size on Carbon Emission Disclosure (CED). This research is a qualitative study using the literature review method. The literature reviewed includes articles from international and national journals with a total of 18 articles from 2018-2024, which provide a comprehensive and up-to-date view on firm size and CED. The results of the literature review highlighted that firm size affects CED reporting. Larger companies tend to have better resources, such as access to advanced technology and expertise, which enables more transparent and detailed reporting of carbon emissions. This helps companies fulfil stakeholder demands for environmental reporting and enhances their credibility and reputation with the public and investors. Thus, paying attention to firm size is crucial in understanding the dynamics of carbon emissions disclosure and corporate sustainability strategies across industries.