What question did this study set out to answer?

The research aims to explore the effects of auditor reputation impairments on their market share among private clients.

The impact of auditor reputation impairments on private-client market share

View Full Paper

Ask AI

Bookmark

Authors

Examines how auditor reputation affects private-client market share, suggesting implications for audit firms.

The research aims to explore the effects of auditor reputation impairments on their market share among private clients.
Analyzed the correlation between public-client restatements and private-client market share
Focused on Big Four audit offices
Measured market share changes one year after a public client restatement announcement
Private-client market share of Big Four firms declines by 5% after a public client announces a restatement
Auditors may struggle to compensate for lost public revenue with gains in private-client revenue
Indicates potential vulnerability of audit firms to reputation impairments

Acito et al. (2026) studied this question.

View Full Paper

Ask AI

Bookmark