SIZE, PERFORMANCE AND ALLIANCE: AN EXAMINATION OF MARKET SEGMENTATION AND MARKET STRUCTURE

Yahn-Shir Chen and Kui-Ying Lin

The International Journal of Business and Finance Research, 2023, vol. 17, issue 1, 71-92

Abstract: In this study, we compare the performance of audit firms under different market segments in different market structures. In terms of market segmentation, we classify audit firms into four groups: international, national, regional, and local audit firms. Further, we define the audit market structure as the Big 6, Big 5 and Big 4 periods. In addition, we take the alliance between audit firms and consulting companies into account. We find size matters. Specifically, firm performance of international firms is better than that of national, regional, and local firms in the Big 6, Big 5, and Big 4 periods. Firm performance of international firms in the Big 5 and Big 4 periods is inferior to that of the Big 6 period, but no significant difference in firm performance between Big 5 and Big 4 periods. Further, international firms outperform national, regional and local firms in the alliance performance during Big 5 and Big 4 periods, but they have no significant differences in alliance performance between Big 5 and Big 4 periods.

Keywords: Market Segmentation; Market Structure; Strategic Alliance; Operating Performance; Audit Firms (search for similar items in EconPapers)
JEL-codes: E24 M41 M42 (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v17n1-2023/IJBFR-V17N1-2022-6.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ibf:ijbfre:v:17:y:2022:i:1:p:71-92

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
Bibliographic data for series maintained by Mercedes Jalbert ( this e-mail address is bad, please contact ).