Strategy and business model disclosures in annual reports: The role of legal regime
研究加拿大双法系环境下，普通法和法国民法对企业战略与商业模式披露的长度和有用性的影响，发现民法辖区披露更少但更能降低信息不对称。
We examine the role of legal regime in the use and usefulness of management disclosures relating to firm strategy and the business model (SBM disclosures). We conduct our analysis in the bijural Canadian setting, where firms operate under either common law (CL) or French Civil law (FCL), depending on where they are headquartered. We find that SBM disclosures vary in length and usefulness across legal regimes. Quebec firms operating under a FCL legal regime produce less extensive SBM disclosures, but such disclosures have a more pronounced information asymmetry-reducing effect, as compared to those of firms operating in CL jurisdictions. Our analysis introduces legal liability risk related to the legal regime as an additional factor that shapes SBM disclosures in the annual reports. Our findings can be of interest to the IASB and the national accounting standard setters as they develop SBM disclosure-related implementation guidance across various jurisdictions.