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In modern societies, consumer well-being is dependent on choices regarding complex services, such as investments, health care, insurance and lending. However, evaluating costs of such services is often difficult for consumers due to a combination of limited cognitive resources and complexity of the service. The purpose of this study is to empirically examine to what extent three specific consequences of complexity influence consumer tendencies to make mistakes when evaluating the costs (or price) of complex services.

Three studies were conducted (survey: n = 153, experiment: n = 332 and conjoint analysis: n = 225), all focusing on how consumers evaluate costs in the complex mutual fund setting.

The authors find that consumers struggle with estimating and using cost information in decision-making in the complex services setting. Consumers of complex services frequently underestimate the costs over the long-term, may see costs as a signal of service quality and are susceptible to influence from presentation formats when evaluating costs.

The study investigates mutual funds, which is one example of a complex service. In order to get a full picture of how consumers deal with costs in complex setting, future research needs to expand this focus to other types of complex services.

The results have implications for both marketers of complex services and policymakers. For marketers, this paper highlights that competing with a low-cost strategy may be difficult in the complex services setting as consumers may lack the ability to actually evaluate what they pay over the long term. For policymakers, increased simplification of prices may be an attractive option. However, it is important that this simplification is done in a way that increases the possibility to compare prices.

As complexity influences several aspects of decision-making, an understanding of how consumers evaluate costs in complex settings is dependent on taking a multidimensional research approach. This paper makes a novel contribution to the literature on pricing by showing that consumers struggle with multiple aspects when evaluating costs in complex contexts. Understanding these effects is important to policy, as well as to research on the cognitive value of simplicity that is currently gaining traction in marketing research.

It is estimated that the largest share of future food fish will come from aquaculture production and that sustainable aquaculture is a precondition to realising this potential. Sustainable aquaculture will also play a key role in achieving several of the targets set out in SDG14. It is now established that most of the aquafeed ingredients used today are not sustainable and cannot support the projected growth of the sector, hence the need for sustainable alternatives. Sustainable aquaculture is multidimensional, therefore, this chapter focuses on sustainable feed ingredient sourcing. The authors explored a group of highly promising emerging novel ingredients known as microbial ingredients (MIs), means of producing them and how they can help achieve sustainable aquaculture and SDG14 targets. Specifically, the chapter narrows down on producing MIs from Norwegian spruce tree hydrolysates using a biotechnological approach and how Foods of Norway, a centre for research-based innovation at the Norwegian University of Life Sciences is leading efforts to produce feed-worthy MIs from industrial and agricultural by-products through biotechnology-based valorisation. MIs such as yeast, fungi, and bacterial meal can support the growth of Atlantic salmon without compromising the health of the fish. Thus, MI has a net positive impact on climate and can help achieve some targets in SDG14 by reducing pressure on marine resources used as fish feed ingredients. Suggestions on how to address current bottlenecks in scaling up MIs have also been provided in the chapter.

Financial statement fraud has become a global concern, and auditors are increasingly focused on identifying and investigating it. Auditors may play a crucial role in investigating and reducing financial statement fraud, and this is particularly important in developing countries where fraudulent practices are more prevalent due to the lack of strict regulations and oversight. This study investigates whether enhanced audit quality has an impact on reducing financial statement fraud. The primary aim is to recognize whether a higher level of audit quality relates with a decrease in fraudulent activities in Indonesia, which is one such country that has not yet adopted IFRS.

This study investigates the effect of audit quality, as measured by audit tenure, audit fee, and audit size, on the dependent variable of financial statement fraud, as indicated by Dechow F-value. The sample for this study comprises 951 observations from 2015 to 2020, and the research design utilizes a panel data approach. To test the main hypothesis, OLS, and GMM estimation techniques are employed.

The analyses reveal a negative relationship between audit tenure and financial statement fraud. This suggests that shorter audit tenure may be associated with an increased risk of financial statement fraud. This heightened risk could stem from auditors having limited time to thoroughly understand the company's operations and internal controls, potentially making it more challenging to detect and prevent fraudulent activities perpetrated by the client. Conversely, a positive relationship is identified between audit fees and financial statement fraud, suggesting that companies paying higher fees may be engaging auditors less adept at detecting fraudulent activities. Furthermore, a negative relationship is observed between Big-5 and financial statement fraud, which may be due to the greater resources, expertise, quality control, scrutiny, reputation, and ethical conduct of Big-5 audit companies.

This study only focused on listed companies in Indonesia, therefore, caution should be exercised when generalizing the findings to other developing and Muslim countries such as Malaysia. The findings may differ due to the adoption of IFRS in Malaysia. As such, it is important for future studies to include Malaysia as a sample and compare the results with those of Indonesia. This comparison would demonstrate the impact of IFRS adoption on the relationship between audit quality and financial statement fraud and provide insights for policy makers in Indonesia.

The findings of this study have important implications for developing countries that have been shown to be more susceptible to fraud than developed countries. This study contributes to the existing research on the role of audit quality in reducing financial statement fraud and emphasizes the need for auditors and accountants to take a proactive approach in detecting and investigating financial fraud.

This study is a new study because it investigates the relationship between audit quality and financial statement fraud in Indonesia, a developing Muslim country that has not yet adopted International Financial Reporting Standards (IFRS). The study provides valuable evidence on the unique factors that influence fraud in Indonesia and fills a gap in the literature as previous studies on this topic have largely focused on developed countries. Additionally, the study recommends that policymakers in Indonesia consider implementing IFRS to improve the reliability of financial reporting and strengthen the effectiveness of the auditing process, thus reducing the incidence of fraud.

In a world with over 8 billion people, ensuring sustainable food sources is paramount. This chapter explores the pivotal role of aquaculture in addressing the challenges of marine conservation and sustainable resource use. Aligned with the United Nations’ Sustainable Development Goal 14, aquaculture emerges as a solution to relieve pressure on wild fish stocks and enhance food security. The chapter emphasises the rapid growth of this sector and underscores the importance of international cooperation and policies like the Global Ocean Treaty in ensuring marine biodiversity. While acknowledging the potential of aquaculture, the chapter delves into environmental concerns surrounding fishmeal and fish oil in feed. It advocates for innovative technologies and ingredients to establish a circular bioeconomy. The significance of higher education in advancing sustainable aquafeed technology, breeding, and genetics is highlighted, with a discussion on milestones achieved by experts like Dr John E. Halver and Professor Simon J. Davies. Examining technological advances, the chapter explores molecular genetics, transgenics, and gene editing, particularly CRISPR biosciences, as transformative tools for enhancing aquaculture productivity and sustainability. Environmental impacts are addressed, proposing solutions such as Recirculating Aquaculture Systems (RAS) and Multitrophic Aquaculture Systems (MTA) to minimise ecological footprints. Throughout, there is a strong emphasis on the integral role of research and education in fostering sustainable aquaculture practices. The chapter advocates for specialised courses and programs in higher education to prepare the next generation for the challenges and opportunities in aquaculture, ensuring its contribution to global food security and environmental stewardship.

The purpose of this study is to provide a systematic review of research development on auditing in the European Union over the past decade and suggest future research directions.

Following the PRISMA protocol, the authors systematically reviewed the relevant literature and conducted a qualitative content analysis of 107 studies on auditing in the European Union published between 2012 and 2023.

The results indicate increased auditing literature in the European Union from 2012 to August 2023. Around 40% of the papers were focused on six nations: Germany, Spain, Italy, the UK, Sweden and France. Additionally, 35.5% of papers have been published in three major journals: Accounting in Europe, International Journal of Auditing and the European Accounting Review. Moreover, 82.24% of papers used quantitative methods, with a few using qualitative or mixed methods. Also, most of the studies in the sample endorsed the European Union’s auditing reforms, which included implementing a cap on nonaudit fees and enhancing the independence of audit committees. Contrary to this viewpoint, multiple studies have expressed disagreement with enforcing a total prohibition on nonaudit services, as certain services can enhance auditing quality. Similarly, other studies have contested the necessity of mandatory auditor rotation every 10 years, citing the significant additional expenses associated with this practice. Finally, further studies supported the European Union’s decision to make the joint audit voluntary, as it is related to high audit fees and low audit quality.

The limitations of this research primarily stem from the authors’ choices in selecting the database and defining the criteria for searching the studied papers.

This paper offers valuable insights into the future research prospects in the European Union’s auditing field. Hence, this analysis can be helpful for researchers and practitioners in developing this field based on future research recommendations and the identified themes.

To the best of the authors’ knowledge, this paper is the first study to systematically review the developments of the European Union auditing literature over the past decade.

This study examines the effects of board members’ compensation on the voluntary establishment of an internal audit function in publicly listed firms. While previous studies have identified some individual determinants related to the voluntary establishment of an internal audit function, the existing evidence on how board members’ compensation affects voluntary use of internal audit is, at best, ambiguous, scarce and incoherent.

Board compensation is a central incentive instrument in the classic principal–agent relationship between the owners and board members. The theme is empirically examined by using data compiled from Finnish publicly listed companies for the period 2015 to 2018. Since the dependent variable of the study is a binary variable, the logistic regression method was chosen as the statistical method of the study.

Our results unequivocally show that generous compensation of the board members increases the likelihood of establishing an internal audit function. Thus, we conclude that good corporate governance can be improved through generous compensation of board members.

Identifying the determinants of internal audit is vital to better understand the mechanisms that facilitate firms' improvement of internal control and risk management in terms of voluntarily adopting an internal audit function, and the implementation of good governance in general. Although numerous determinants of internal audit have been identified in previous studies, this study showed that one of the key determinants has so far been overlooked; namely, the remuneration of board members.

Steam explosions are a major safety concern in many modern furnaces. The explosions are sometimes caused by water ingress into the furnace from leaks in its high-pressure (HP) cooling water system, coming into contact with molten matte. To address such safety issues related to steam explosions, risk based inspection (RBI) is suggested in this paper. RBI is presently one of the best-practice methodologies to provide an inspection schedule and ensure the mechanical integrity of pressure vessels. The application of RBIs on furnace HP cooling systems in this work is performed by incorporating the proportional hazards model (PHM) with the RBI approach; the PHM uses real-time condition data to allow dynamic decision-making on inspection and maintenance planning.

To accomplish this, a case study is presented that applies an HP cooling system data with moisture and cumulated feed rate as covariates or condition indicators to compute the probability of failure and the consequence of failure (CoF), which is modelled based on the boiling liquid-expanding vapour explosion (BLEVE) theory.

The benefit of this approach is that the risk assessment introduces real-time condition data in addition to time-based failure information to allow improved dynamic decision-making for inspection and maintenance planning of the HP cooling system. The work presented here comprises the application of the newly proposed methodology in the context of pressure vessels, considering the important challenge of possible explosion accidents due to BLEVE as the CoF calculations.

This paper however aims to optimise the inspection schedule on the HP cooling system, by incorporating PHM into the RBI methodology, as was recently proposed in the literature by Lelo et al. (2022). Moisture and cumulated feed rate are used as covariate. At the end, risk mitigation policy is suggested.

In this paper, the proposed methodology yields a dynamically calculated quantified risk, which emphasised the imperative for mitigating the risk, as well as presents a number of mitigation options, to quantifiably affect such mitigation.

Limiting the use of antibiotics in food animals is a cornerstone of contemporary EU policy. Despite that marketing of antibiotics for growth promotion and nutrition has been banned since 2006, the use is still high and varied. This paper aims to investigate the forces behind the different usage patterns in Italy, with one of the EU’s most extensive use of antibiotics in animals, versus Sweden, with the union’s most restricted use, including how these usage patterns are related to EU and national policies.

The industrial network approach/the 4R resources interaction model is adopted to investigate the major forces behind the different antibiotic usage patterns. Furthermore, the study relies on the notion of three main characteristics related to the use of a resource activated in several user settings (Håkansson and Waluszewski, 2008, pp. 20–22). The paper investigates the Swedish and the Italian using settings, with a minimised, respectively, extensive usage of antibiotics. The study is exploratory in nature and based on qualitative data collected through a combination of primary and secondary sources.

The paper underlines the importance of integrating forces for policy to succeed in attempts to reduce the use of a particular resource. It reveals that Sweden’s radically reduced use was based on great awareness, close interactions between animal-based food producers and policy – and that integrating forces were supported by an era of state-protected food production, with promising ability to distribute the cost of change. The Italian characteristics hindering the integration of forces mounting for reduced use were restricted awareness, top-down business and policy interactions – and a great awareness about the difficulties of distributing the cost of change.

The study deals with the analysis of forces affecting the different usage of antibiotics within two EU settings. The investigation, based on the industrial network approach’s notion of connectivity of economic resources, that is, of exchange having a content and substance beyond discrete transactions, reveals how indirect related contextual forces, neglected by policy, have an important influence on the ability to achieve change, in this case of antibiotics usage patterns.

This paper aims to examine the effects of the 2014 European regulatory reform on auditors’ activity, the audit outcome and the audit market, with a focus on the Spanish market.

The research is based on in-depth, semistructured interviews with partners of the main audit firms operating in the Spanish market. This qualitative approach provides a precise identification of the cause-effect relationships of the new measures introduced by the European audit regulation.

The findings indicate that, based on auditors’ opinions, the costs of the main regulatory changes outweigh the benefits. The European Union (EU) Audit Regulation imposes more demanding provisions, such as an extended auditor’s report, mandatory audit firm rotation, more banned nonaudit services and stricter quality controls, resulting in substantial side effects on audit activity and the audit market. This could undermine the objective of enhancing the quality of audit services.

To the best of the authors’ knowledge, this is the first study to analyze the effect of the 2014 EU regulatory reform on audit activity, audit market and audit outcome based on auditors’ perceptions. The findings may be of interest to academics, professionals and regulators alike, as they offer valuable insights for assessing the effectiveness of the new audit provisions. Additionally, the qualitative methodology used facilitates a causal analysis of the key elements introduced by the regulations, potentially paving the way for future research avenues.

This chapter reviews digital payment infrastructures at the retail, wholesale and cross-border levels, available operating and governance models and trade-offs. Various developments in the field of digital payments, key challenges and the role of the central banks in helping to address those challenges are introduced. This chapter starts by examining issues in retail payments, before moving on the wholesale and large-value payments, real-time gross settlement (RTGS) which is the core settlement of payment systems before examining cross-border payments. This chapter ends with an overview of the role of central banks in promoting digital payment infrastructures.