 EFFECTS OF INCREASED COMPETITION ON SMALLSIZED AUDITORS IN TAIWAN: FIGHT OR FLIGHT?Yahn-Shir Chen, Yi-Fang Yang and I-Ching Huang The International Journal of Business and Finance Research, 2021, vol. 15, issue 1, 1-17 Abstract: Taiwan established the Certified Public Bookkeepers Act to regulate tax agents in providing services to small and medium-sized enterprises in 2004. The Act enhances the capabilities of tax agents in competing business with auditors. Auditors face increased competition in rendering services to the same target clients as tax agents. What is the responding measure, fight or flight, for auditors? Based on both economic theory and business competitive strategy theory, this study investigates the effects of the Certified Public Bookkeepers Act in 2004 on small-sized auditors in Taiwan. Empirical results indicate that both businesses and operating performance of auditors are better after the regulation, consistent with the responding measure of fight. This study contributes knowledge to the literature and conveys managerial implication to the practitioners. Keywords: Tax Agents; Auditors; Proprietorship Public Accounting Firms; Operating Performance (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ibf:ijbfre:v:15:y:2021:i:1:p:1-17 Access Statistics for this article The International Journal of Business and Finance Research is currently edited by Terrance Jalbert More articles in The International Journal of Business and Finance Research from The Institute for Business and Finance Research |
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