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While existing research explores the impact of audit market competition on audit fees and audit quality, there is limited investigation into how competition in the audit market influences auditors' writing style. This study examines the relationship between audit market competition and the readability of audit reports in Iran, where competition is particularly intense, especially among private audit firms.

The sample comprises 1,050 firm-year observations in Iran from 2012 to 2018. Readability measures, including the Fog index, Flesch-Reading-Ease (FRE) and Simple Measure of Gobbledygook (SMOG), are employed to assess the readability of auditors' reports. The Herfindahl–Hirschman Index (HHI) is utilized to measure audit market competition, with lower index values indicating higher auditor competition. The concentration measure is multiplied by −1 to obtain the competition measure (AudComp). Alternative readability measures, such as the Flesch–Kincaid (FK) and Automated Readability Index (ARI) are used in additional robustness tests. Data on textual features of audit reports, auditor characteristics and other control variables are manually collected from annual reports of firms listed on the Tehran Stock Exchange (TSE).

The regression analysis results indicate a significant and positive association between audit market competition and audit report readability. Furthermore, a stronger positive and significant association is observed among private audit firms, where competition is more intense compared to state audit firms. These findings remain robust when using alternative readability measures and other sensitivity checks. Additional analysis reveals that the positive effect of competition on audit report readability is more pronounced in situations where the auditor remains unchanged and the audit market size is small.

This paper expands the existing literature by examining the impact of audit market competition on audit report readability. It focuses on a unique audit market (Iran), where competition among audit firms is more intense than in developed countries due to the liberalization of the Iranian audit market in 2001 and the establishment of numerous private audit firms.

The objective of this paper is to increase understanding of social media in international business context. To this end, the authors make an attempt to integrate the existing, still somewhat limited views in a framework that advances the knowledge of scholars and decision-makers on this topic.

The authors conduct a conceptual study supported by use of a systematic literature review method.

This study shows marketing as a dominant area of discussion and reveals that many firm functions where social media plays a role have received relatively little attention. Furthermore, the study shows that the positive features of social media in international activity tend to be more widely acknowledged and better understood than the potentially problematic aspects.

The number of articles analyzed in this study was relatively small, resonating with the nature of an emerging research area. Research on social media has only taken off over the last years, and it is understandable that there is limited research that connects it specifically to phenomena of international business.

This study reminds managers to be cautious when using social media in international markets. The relationship between social media and international business exhibits dynamism and is dependent on a variety of factors. Social media does not come without costs, nor is easily transferred from one market to another. Efficient use of this media in the international context may increase the need of specific and qualified human resources, and it may necessitate having the whole process from R&D to delivery, and beyond, ready for adaptation.

It can be argued that we know too little about the relevant factors and relationships between social media and international business. The authors hope that this study revealing the scarcely studied aspects and suggesting a tentative framework for capturing the dynamics of social media and international business can guide subsequent research and accelerate its emergence.