Economics at your fingertips  

The blame game: COVID-19 crisis and financial performance

Rayenda Brahmana, Doddy Setiawan () and Maria Kontesa
Additional contact information
Doddy Setiawan: Universitas Sebelas Maret

SN Business & Economics, 2022, vol. 2, issue 11, 1-20

Abstract: Abstract This research investigates the manager’s impression management during the COVID-19 pandemic by gauging the agency theory framework. We examine how managers blame COVID-19 when the firms experience declining performance to retain their reputation. Overall, our results indicate that those firms with declining performance will blame COVID-19 compared to those with expected performance. It also indicates that the odds of COVID-19 appearing in the financial report will be higher in the declining performance firms. Our analysis confirms the impression management theory and agency theory by suggesting that, under declining performance, managers blame COVID-19 as the justifications to alter the attention from their incapability to the black swan event.

Keywords: COVID-19; Blame game; Financial performance; Agency problems; Impression management (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc

Downloads: (external link) Abstract (text/html)
Access to the full text of the articles in this series is restricted.

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:

Ordering information: This journal article can be ordered from

DOI: 10.1007/s43546-022-00352-w

Access Statistics for this article

SN Business & Economics is currently edited by Gino D'Oca

More articles in SN Business & Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

Page updated 2024-06-13
Handle: RePEc:spr:snbeco:v:2:y:2022:i:11:d:10.1007_s43546-022-00352-w