 Product market competition and disclosure deficiencies in different mandatory filing types: Evidence from SEC comment lettersJae Hwan Ahn and Hanyong Chung Research in International Business and Finance, 2025, vol. 73, issue PA Abstract: Using firms’ receipt of SEC comment letters, this study investigates their selection of mandatory filing types when producing deficient disclosures in response to the product market competition. Empirical evidence reveals a positive association between two firm-level measures of product market competition and a firm’s likelihood of receiving comment letters for non-10-K filings. These patterns are particularly pronounced when firms face a higher likelihood of new market entrants or operate as industry followers. Additionally, firms receiving comment letters for non-10-K filings experience increased sales and market share in the subsequent year. Overall, these findings suggest that firms strategically make deficient disclosures in non-10-K filings to minimize regulatory costs. Keywords: Product market competition; Proprietary cost; SEC comment letters; Mandatory disclosure; Disclosure deficiency (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:eee:riibaf:v:73:y:2025:i:pa:s0275531924004045 DOI: 10.1016/j.ribaf.2024.102611 Access Statistics for this article Research in International Business and Finance is currently edited by T. Lagoarde Segot More articles in Research in International Business and Finance from Elsevier |
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