The Role of Corporate Reputation in Moderating the Effects of Greenwashing, Fraud, and SDGs Disclosure on Firm Value

Abstract

Sustainability issues are a significant concern in the mining industry in ASEAN, driven by high public and investor pressure on corporate social responsibility. This study analyzes the influence of greenwashing, disclosure of Sustainable Development Goals (SDGs), and financial statement fraud on green value in mining companies in ASEAN, based on legitimacy theory, fraud theory, and signaling theory, and examines the role of reputation as a moderating variable. The study examines company-registered mines in Indonesia, Malaysia, and Thailand for the period 2018–2023. The sample was determined with purposive sampling, so that obtained from 71 companies with a total of 426 observations. Data obtained from the report finance official stock exchange of each country, and processed using panel data regression with the Stata 17 application. Research results on companies mining in ASEAN show that greenwashing and SDGs disclosure are not significantly influential towards green value, because practicing pseudo and formal transparency that is not credible fails to build legitimacy and signal positive in the eyes of investors. On the other hand, fraud reports in finance have proven to be significantly influential and negative towards green value, where the practice of fraud damages credibility, weakens legitimacy, as well as lowers stakeholder trust. However, reputation proven No capable moderate the relationship between greenwashing, disclosure of SDGs, and fraud on green values, so No play a role in strengthening or weakening influence variables on the mark sustainability company mining in ASEAN.