Interpreting Transparency: Retail Investors’ Lived Experiences with Startup Financial Reporting in Southeast Asia
Main Article Content
Abstract
Financial transparency within startup ecosystems is often viewed as a regulatory or technical obligation, yet for retail investors it is also a deeply subjective and relational experience. This study investigates how retail investors in Southeast Asia interpret and engage with startup financial reports, drawing on an interpretative phenomenological approach. Ten participants, all active in equity or debt investments through digital platforms, were interviewed to explore their perceptions, emotional responses, and decision-making processes. Findings reveal that transparency is constructed through perceived honesty, accessibility of language, and alignment with personal values, rather than solely through numerical accuracy. Investors frequently relied on narrative authenticity and intuitive judgments based on the tone and clarity of disclosures, with many expressing frustration over technical jargon that excluded non-experts. These insights underscore the need for human-centered financial communication that blends accuracy with relational trust. The study contributes to a richer understanding of investor behavior and offers practical guidance for enhancing ethical and inclusive financial reporting.
Article Details
Section
This work is licensed under a Creative Commons Attribution 4.0 International License.
References
Adu, D. A., Al-Najjar, B., & Sitthipongpanich, T. (2022). Executive compensation, environmental performance, and sustainable banking: The moderating effect of governance mechanisms. Business Strategy and the Environment, 31(4), 1439–1463. Scopus. https://doi.org/10.1002/bse.2963
Alkaraan, F., Elmarzouky, M., Hussainey, K., Venkatesh, V. G., Shi, Y., & Gulko, N. (2024). Reinforcing green business strategies with Industry 4.0 and governance towards sustainability: Natural-resource-based view and dynamic capability. Business Strategy and the Environment, 33(4), 3588–3606. Scopus. https://doi.org/10.1002/bse.3665
Bhatti, A., Rehman, S. U., & Rumman, J. B. A. (2020). Organizational capabilities mediates between organizational culture, entrepreneurial orientation, and organizational performance of smes in pakistan. Entrepreneurial Business and Economics Review, 8(4), 85–103. Scopus. https://doi.org/10.15678/EBER.2020.080405
Chevrollier, N., Zhang, J., van Leeuwen, T., & Nijhof, A. (2020). The predictive value of strategic orientation for ESG performance over time. Corporate Governance (Bingley), 20(1), 123–142. Scopus. https://doi.org/10.1108/CG-03-2019-0105
De Masi, S., Słomka-Gołębiowska, A., Becagli, C., & Paci, A. (2021). Toward sustainable corporate behavior: The effect of the critical mass of female directors on environmental, social, and governance disclosure. Business Strategy and the Environment, 30(4), 1865–1878. Scopus. https://doi.org/10.1002/bse.2721
Galletta, S., Mazzù, S., & Naciti, V. (2021). Banks’ business strategy and environmental effectiveness: The monitoring role of the board of directors and the managerial incentives. Business Strategy and the Environment, 30(5), 2656–2670. Scopus. https://doi.org/10.1002/bse.2769
Hu, K.-H., Hsu, M.-F., Chen, F.-H., & Liu, M.-Z. (2021). Identifying the key factors of subsidiary supervision and management using an innovative hybrid architecture in a big data environment. Financial Innovation, 7(1). Scopus. https://doi.org/10.1186/s40854-020-00219-9
Kumar, S., Sureka, R., Lim, W. M., Kumar Mangla, S., & Goyal, N. (2021). What do we know about business strategy and environmental research? Insights from Business Strategy and the Environment. Business Strategy and the Environment, 30(8), 3454–3469. Scopus. https://doi.org/10.1002/bse.2813
Lassoued, N., & Khanchel, I. (2023). Voluntary CSR disclosure and CEO narcissism: The moderating role of CEO duality and board gender diversity. Review of Managerial Science, 17(3), 1075–1123. Scopus. https://doi.org/10.1007/s11846-022-00555-3
Martinez-Sanchez, A., Vicente-Oliva, S., & Pérez-Pérez, M. (2020). The strategy of human resource flexibility versus absorptive capacity of knowledge: An integrative framework in industrial firms. European Journal of Innovation Management, 24(2), 315–337. Scopus. https://doi.org/10.1108/EJIM-10-2019-0314
Mas-Tur, A., Kraus, S., Brandtner, M., Ewert, R., & Kürsten, W. (2020). Advances in management research: A bibliometric overview of the Review of Managerial Science. Review of Managerial Science, 14(5), 933–958. Scopus. https://doi.org/10.1007/s11846-020-00406-z
Mattera, M., & Soto, F. (2023). Dodging the bullet: Overcoming the financial impact of Ukraine armed conflict with sustainable business strategies and environmental approaches. Journal of Risk Finance, 24(1), 122–142. Scopus. https://doi.org/10.1108/JRF-04-2022-0092
Umeh, C., Cornelius, N., & Wallace, J. (2023). Exploring equality, diversity, and inclusion in multiethnic settings: A context-sensitive approach. Human Resource Management Journal, 33(1), 148–169. Scopus. https://doi.org/10.1111/1748-8583.12441
Weight, E. A., Huml, M. R., Taylor, E., & Dixon, M. A. (2021). Working in the sport industry: A classification of human capital archetypes. Journal of Sport Management, 35(4), 364–378. Scopus. https://doi.org/10.1123/JSM.2020-0070
Yang, J., & Arthur, J. B. (2021). Implementing commitment HR practices: Line manager attributions and employee reactions. International Journal of Human Resource Management, 32(16), 3339–3369. Scopus. https://doi.org/10.1080/09585192.2019.1629986
Zacher, H., & Rudolph, C. W. (2022). Researching employee experiences and behavior in times of crisis: Theoretical and methodological considerations and implications for human resource management. German Journal of Human Resource Management, 36(1), 6–31. Scopus. https://doi.org/10.1177/23970022211058812