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The authors use laboratory experiments to test two self-assessment tax mechanisms for facilitating land assembly. One mechanism is incentive compatible with a complex tax function, while the other uses a flat tax rate to mitigate implementation concerns. Sellers publicly declare a price for their land. Overstating its true value is penalized by using the declared price to assess a property tax; understating its value is penalized by allowing developers to buy the property at the declared price. The authors find that both mechanisms increase the rate of land assembly and gains from trade relative to a control in which sellers’ price declarations have no effect on their taxes. However, these effects are statistically insignificant or transitory. The assembly rates in our self-assessment treatments are markedly higher than those of prior experimental studies in which the buyer faces bargaining frictions, such as costly delay or capital constraints.

The act of consolidating multiple parcels of land to form a single larger parcel is known as land assembly. Laboratory experiments have enabled researchers to explore how various factors, environments, and institutions hinder or assist the aggregation process. This chapter surveys the experimental literature and highlights the experimental design used in those studies, as well as their main findings.

This paper responds to concerns raised by the Securities and Exchange Commission (SEC), Public Company Accounting Oversight Board (PCAOB) and scholars over the rapid growth of Big 4 consulting practices. This paper aims to explores the question: Does the regrowth of sizable consulting practices by the Big 4 influence audit reporting lag and restatement rates?

A population of the SEC-registered US audit clients of the Big 4 was used in this study. Longitudinal data on Big 4 audit clients from 2000 through 2009 were analyzed to determine the impact of consulting practice size on the clients’ audit reporting lag and restatement rate.

This paper finds that consulting practice size has a positive and statistically significant influence on audit reporting lag and restatement rate. The results are robust to alternative specifications of the sample and controlling for the level of non-audit services provided to audit clients.

The findings contribute to the discussion of the scope-of-services issue. They provide empirical support for Zeff’s (2003) and Wyatt’s (2004) intuition that the loss of Big 4 professional focus – not simply conflicts of interests – is a major factor affecting the audit quality.

The uniqueness of this paper is in how it counts restatements. Each year this paper counts that annual financial statements are restated as opposed to each disclosure of a restatement. This paper’s contribution is to examine the association between the regrowth of Big 4 accounting firm consulting practices with audit reporting lag and restatements.

This study aims to investigate the busy season contagion effects on other clients of the Big 4 auditor’s local office associated with the non-timely (NT) filing(s) by large accelerated filer (LAF) client(s) of the office. Specifically, the authors examine the influence such events have on the audit quality and timeliness of other clients of that office.

Using panel data of annual NT filings of LAF clients between 2006 and 2019, the authors apply the ordinary least squares regression technique to model audit reporting lag (ARL) and the logistic regression technique to model the probability of restatements.

Controlling for audit firm, industry and year-fixed effects, the authors find that a LAF NT filing reduces audit quality and audit timeliness of other clients of the office, as measured by restatement risk and ARL. The impact on ARL is most pronounced on the medium and small clients within the office. The deteriorated audit quality is observed for medium clients.

The results of this study have practical implications for auditors and regulators. They reveal the contagion effect in the auditor’s local office with the NT LAF client. The main limitation of the study is the lack of staffing utilization data to allow for drawing conclusions on causality.

To the best of the authors’ knowledge, this is the first study to document the contagion effect of NT filings of LAF clients conducted at the auditor’s local office level.

This paper aims to offer a commentary on recent failures in financial markets.

The approach is that of critical commentary on the present situation.

Current market dynamics reinforce the fact that there are few greater issues for financial institutions than governance and control systems.

The paper shows that financial institutions are still seeking to find the correct balance between risk and reward among the forces of financial innovation.

What if companies try to combine the IKEA and Trophy winner effects? The purpose of this study is to understand the similarities and differences between both effects. This is not only theoretically but also practically important for the way that companies interact with their customers.

Successful work – invested either to create or to obtain a product – increases the customers’ valuation of the product. This phenomenon known as the IKEA or Trophy winner effect. This study directly compares both effects using experiments with two different products (paper planes and 3D puzzles). Moreover, this study tests whether they reinforce each other.

The Trophy winner effect looms larger than the IKEA effect for inexpensive items. For slightly more expensive products, this study finds a Trophy loser effect. Positive emotions of trophy winners drive the results for inexpensive products, whereas negative emotions of trophy losers drive the results for slightly more expensive products.

The relevance of the IKEA and Trophy effects is influenced by the type of product. Customers’ labor invested in the product itself is of greater importance the more expensive the product is. As soon as customers interpret the interaction with other customers as competition, the effect on valuation can be substantial even for inexpensive products. Future studies could try to replicate our results with different product categories.

Although the IKEA and Trophy effects are no new phenomena in consumer psychology and behavioral economics, they have not been compared to each other or combined yet. The results are useful for researchers and practitioners alike. They yield implications for product customization and customer empowerment.

Recent decade has witnessed exponential growth in e-commerce segment, leading to emergence of various online selling platforms catering to diverse product requirements of customers. Such a development has provided impetus to both existing businesses and newly established ventures to make available their offerings through online selling platforms with a view to improve the reach of their products. This study is an attempt to identify the experience of registered vendors with the online marketplaces. It aims to develop and validate a scale to measure vendor's experience with e-commerce platforms.

As a part of the scale development process, relevant literature sources were scanned to spot the precise knowledge gap and to put in place a sound theoretical background for the study. Thereafter, a scientific approach was adopted for scale creation. First, the scale items were identified through interviews of vendors registered with major online selling platforms and other academic experts pertaining to the marketing domain. Subsequently, major dimensions of seller experience were identified through exploratory factor analysis (EFA) applied on data collected from active vendors by the means of a structured survey instrument. The final data set was subjected to confirmatory factor analysis (CFA) in a bid to validate the scale.

The study’s outcomes reveal that seller experience in an online marketplace can be best captured by a multidimensional scale characterized by six major dimensions. These are “Registration,”; “Product Listing”; “Pricing Autonomy”; “Ease of Pick-up and Delivery”; “Credit of Receivables” and “Vendor Assistance.” A proper emphasis to continually improve upon these dimensions by the e-commerce platforms is expected to enhance the utility and overall experience of vendors from such platforms. Existence of a mutually beneficial relationship between vendors and online marketplaces will help marketplaces to mitigate concerns like nonfulfillment of orders and dispatch of substandard products.

Sustainable long-term relations between vendors and online marketplaces hold the key for such marketplaces to render error-free and delightful service on each individual order received. Seller experience of registering and operating on such e-marketplaces inspite of playing a defining role in vendor–marketplace relations has received scant attention of researchers, both in academia and industry till date. The present research is a seminal attempt to address this gap in marketing literature and offer additional know-how.

The e-business platform has become a major driver for economic growth and development. The economic success of an e-marketplace greatly depends on the extent to which buyers and sellers are attracted to enter and actively participate in the e-business platform. Existing literature lacks empirical examination of factors influencing e-business platform attractiveness (EBPA) from a seller's perspective and understudies the interplay between technical and managerial considerations.

Based on the literature on network economy, modular systems theory, control theory and social exchange theory, the paper proposed that platform flexibility and platform control (PC) would affect EBPA through both direct and interaction effects. From a survey of platform sellers, the paper explored the influencing mechanisms of EBPA using hierarchical regression and fuzzy-set qualitative comparative analysis (fsQCA) to understand the statistical associations and the set relations of the conjunctions and conditions.

The paper found that platform flexibility (PF), process control and clan control (CC) positively affected EBPA. In addition, the interaction between PF and process control demonstrated a substitution effect on EBPA, and the interaction between PF and CC demonstrated a complementary effect on EBPA. Also, the authors found that the interaction between process control and CC demonstrated a complementary effect on EBPA. fsQCA provided the configurations of causal recipes associated with EBPA.

From a seller's perspective, the paper presents both theoretical explanation and empirical evidence for how design factors (e.g. PF) and governance factors (e.g. process control and CC) may interplay to influence EBPA.

To provide a social‐theoretic framework which explains how e‐commerce affects social conditions, such as availability of information and equality of access to information, influences actors' behavior, shapes e‐commerce business models, and in turn impacts industry structure.

Empirical investigation based on one‐hour interviews with owners/managers of nine vehicle dealerships and six vehicle buyers in a large US metropolitan region. The hermeneutic method of understanding was used, involving a circular process from research design and attentiveness to data, to data collection and interpretation. This circular process exemplified the dialectic relationship between the theoretical framework (derived from Habermas's Theory of Communicative Action) and empirical data, through which interpretation and theoretical explanations grounded in the data emerged.

Demonstrates that e‐commerce gives rise to increasing competition among the dealers, decreasing prices and migration of competition to price, decreasing profitability of the average dealer, and erosion of traditional sources of competitive advantage. Moreover, e‐commerce emancipates and empowers vehicle purchasers while reducing the power of automobile dealers.

The research findings focus on the effects of e‐commerce on the automobile distribution industry. However, one could argue that a number of the findings extend to other retailing‐based industries.

The paper illustrates a research methodology that may be useful to study other e‐commerce applications.

This paper illustrates the application of Habermas's Theory of Communicative Action to studying the effect of e‐commerce.

This study investigates a perceived student performance disparity between traditional synchronous and web-based asynchronous course delivery. Synchronous classes meet face-to-face or online with scheduled meeting times and the ability to directly monitor class attendance and participation. Asynchronous classes are 100% online, requiring no face-to-face or online live sessions. This study identifies student attributes associated with performance differences in the two delivery modes. The authors examine data from over 15,000 students who took introductory financial and managerial accounting classes at a large state university. The authors analyze student demographic and class performance data. Controlling for instructor and year effects, the authors find a statistically significant lower DFW rate (better performance) in the synchronous introductory accounting classes compared to the asynchronous ones. Using these findings, the authors revised scheduling and advising protocols to improve student success likelihood in the asynchronous sections. This study provides two insights applicable to many accounting departments. First, the results suggest that empirically exploring student performance implications may be warranted as the number of web-based asynchronous class offerings grow. Additionally, the study provides an example of working within the limitations of existing registration policies and systems to translate the result of the analysis into improved advising and scheduling approaches.