The Market For Audit Services In Germany

Abstract

Many studies have been conducted on the market for audit services in the United States, the United Kingdom, Australia and other countries, but many countries, including Germany, have not been studied. Since the German accounting environment differs significantly from most of the countries previously studied, this paper studies the audit services market in Germany to ascertain whether the determinants of audit fees differ in Germany. The findings indicate broad similarities with some differences in the market for audit services in Germany and countries previously studied. In particular, as in a majority of countries previously studied, there is a fee premium paid to large auditors.