Ethical Reputation, Not Fees Drive Auditor Selection At Inc. 500 Companies

Abstract

Acquiring a new client is an arduous task.  Accordingly, losing an important client can be devastating to a firm and demoralizing to the accounting team assigned to the client, particularly if the client represents a significant portion of the firm’s revenue stream.  This research study reflects the concern of CEOs that poor customer service can result in firing the present accounting firm. Besides completing the work required by the client, the accounting firm needs to build the perception of being a problem-solver and an initiator of ideas that markedly helps a client’s overall financial health and well-being.  To do otherwise will result in the client putting its need for professional services “out to bid.”