Izvorni znanstveni članak
https://doi.org/10.1080/1331677X.2022.2095521
Does CEO duality worsen or fosters audit quality: evidence from Chinese firms?
Li Zhang
Yujuan Ma
Yueming Hu
Sažetak
The objective of this study is to examine the role of CEO duality
in audit quality of Chinese firms. To address the effect of CEO
duality, this study considered four characteristics of CEO duality;
corporate audit culture, audit committee independence, decision
making through enormous power and single leadership. The
indirect effect of audit committee decision is considered between
CEO duality and audit quality. A questionnaire survey is carried
out to collect primary data. A questionnaire was designed to collect
data from Chinese firms. Respondents of the study were the
CEO’s and directors of Chinese firms; therefore, questionnaires
were distributed among them by using online survey. 135 valid
questionnaires were used in data analyses which is carried out by
using Partial Least Square (PLS)-Structural Equation Modeling
(SEM). Results of the study highlighted that; CEO duality has both
positive and negative effect on audit quality. Due to the single
leadership style and supportive corporate audit culture, the audit
quality may be improved. However, CEO duality influences negatively
on audit committee independence which has negative
effect on audit committee decisions. Similarly, CEO duality allows
to enjoy enormous power which may affect negatively on the
decision making. Thus, decision-making through enormous power
has negative effect on audit committee decisions. Finally, while
making the strategies to enhance audit quality, the practitioners
can consider the important points highlighted by the current
study to promote audit quality.
Ključne riječi
Corporate audit culture; audit committee independence; decision making; single leadership; audit quality; Chinese firms
Hrčak ID:
303750
URI
Datum izdavanja:
31.3.2023.
Posjeta: 248 *