This paper aims to examine the use of social media for sustainability reporting by the largest Australia companies as a means of seeking legitimacy from stakeholders.
Qualitative content analysis was applied to examine social and environmental disclosures posted by Australian companies on three social media platforms – Facebook, Twitter and LinkedIn, and to observe stakeholder interaction in relation to the social and environmental postings.
The findings of this study indicate a limited use of social media by the top 50 Australian Stock Exchange (ASX) listed companies for sustainability reporting as only 46 per cent of the companies used Facebook, Twitter and/or LinkedIn. Nevertheless, those companies which actively used social media were able to seek legitimacy through information disclosure and dialogue with stakeholders. Social issues such as community support, employees, gender equality and diversity dominated the three social media platforms when compared to environmental issues and all disclosures had a positive tone. These disclosures in turn framed the dialogue with stakeholders, leading to use of social media platforms that companies preferred and enabling a close control over online discussions.
This study highlights that social media sustainability communication focuses on symbolic legitimacy strategies, leading to companies managing the impressions of their stakeholders and controlling the dialogue with them.
This study provides an understanding of the actual practice of social media sustainability communication and has implications for both organisations and their stakeholders.
This study provides in-depth insights into the use of social media to transform sustainability reporting, an issue that has limited coverage in prior literature and extends the application of legitimacy theory to social media communication.
