Suche nach Personen

plus im Publikationsserver
plus bei BASE
plus bei Google Scholar

Daten exportieren

 

The Big 4 premium: Does it survive an auditor change? Evidence from Europe

Titelangaben

Verfügbarkeit überprüfen

Fleischer, Rouven ; Göttsche, Max ; Schauer, Max:
The Big 4 premium: Does it survive an auditor change? Evidence from Europe.
In: Journal of international accounting, auditing & taxation. 29 (2017). - S. 103-117.
ISSN 1061-9518

Volltext

Volltext Link zum Volltext (externe URL):
https://doi.org/10.1016/j.intaccaudtax.2017.10.002

Kurzfassung/Abstract

This study presents new evidence on the effects of auditor changes on audit pricing, with a particular focus on the Big 4 premium. We link the fee cutting and Big 4 premium research fields and examine whether the Big 4 premium is influenced by a firm’s decision to change its auditor. Applying matching analysis, we compare the audit fees of firms switching to a Big 4 auditor with those switching to a non-Big 4 auditor. Compared with non-switching firms, we find that audit pricing strongly differs for existing versus new clients of Big 4 auditors. The Big 4 premium only exists for mandates in which firms do not change their auditor, whereas upon auditor changes Big 4 auditors are willing to give up their premium or even accept lower fees than non-Big 4 auditors. This discount prevails in most post-change years. We conclude that Big 4 auditors apply a foot-in-the-door strategy and request lower fees to win new clients. Therefore, the existence of the well-known Big 4 premium is strongly influenced by a firm's decision to change its auditor. These findings are based on a data set including all listed German, Italian, Belgian, and Finnish firms from 2007 to 2010.

Weitere Angaben

Publikationsform:Artikel
Sprache des Eintrags:Englisch
Institutionen der Universität:Wirtschaftswissenschaftliche Fakultät > Betriebswirtschaftslehre > Lehrstuhl für Allgemeine Betriebswirtschaftslehre, Controlling und Wirtschaftsprüfung
DOI / URN / ID:10.1016/j.intaccaudtax.2017.10.002
Open Access: Freie Zugänglichkeit des Volltexts?:Nein
Peer-Review-Journal:Ja
Verlag:Elsevier
Die Zeitschrift ist nachgewiesen in:
Titel an der KU entstanden:Ja
KU.edoc-ID:24494
Eingestellt am: 29. Jun 2020 13:33
Letzte Änderung: 21. Jan 2022 16:22
URL zu dieser Anzeige: https://edoc.ku.de/id/eprint/24494/
AnalyticsGoogle Scholar