Content Analysis of Business Communication: Introducing a German Dictionary

Journal of Business Economics (2018). doi: 10.1007/s11573-018-0914-8

54 Pages Posted: 2 May 2017 Last revised: 7 Nov 2018

See all articles by Christina E. Bannier

Christina E. Bannier

Justus-Liebig-University Giessen

Thomas Pauls

Goethe University Frankfurt

Andreas Walter

University of Giessen - Department of Financial Services

Date Written: January 1, 2018

Abstract

Computer-aided text analyses have gained a lot of attention recently. Applied to different types of business communication such as earnings announcements, analyst reports, or IPO prospectuses, they have been used to extract relevant information for financial market participants. A large number of studies employ dictionary-based approaches by referring to specific word lists. Since these lists have been predominantly compiled for the English language, the respective analyses have focused on English business texts. In order to amplify the application of content analyses to other languages, we create a German dictionary designed to measure the textual sentiment of business communication. Our dictionary is based on the English dictionary by Loughran and McDonald (J Finance 66:35–65. doi: 0.1111/j.1540-6261.2010.01625.x, 2011), which is commonly used for examining finance- and accounting-specific texts. We discuss the set-up of our dictionary and extensively test its quality. We further compare our dictionary to German general language dictionaries and to a machine-learning procedure and provide evidence for its ability to capture market-relevant textual sentiment of German business communication.

Keywords: Text analysis, Content analysis, Textual sentiment, Business communication, Annual reports

JEL Classification: G02, G12, G14

Suggested Citation

Bannier, Christina E. and Pauls, Thomas and Walter, Andreas, Content Analysis of Business Communication: Introducing a German Dictionary (January 1, 2018). Journal of Business Economics (2018). doi: 10.1007/s11573-018-0914-8. Available at SSRN: https://ssrn.com/abstract=2961820 or http://dx.doi.org/10.2139/ssrn.2961820

Christina E. Bannier

Justus-Liebig-University Giessen ( email )

Licher Str. 62
Gießen, 35394
Germany
+49 641 99 22551 (Phone)

Thomas Pauls (Contact Author)

Goethe University Frankfurt ( email )

Theodor-W.-Adorno-Platz 3
Frankfurt am Main, 60323
Germany

Andreas Walter

University of Giessen - Department of Financial Services ( email )

Betriebswirtschaftslehre V
Giessen, 35394
Germany

HOME PAGE: http://wiwi.uni-giessen.de/ma/dat/walter/Andreas_Walter/

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