Corporate governance mechanisms and audit pricing: evidence on ceo accounting expertise and audit committee independence in an emerging market

khaled Salmen Aljaaidi — Wed, 13 May 2026 00:00:00 -0500

on audit fees, with a focus on listed firms in the Sultanate of Oman. Drawing on audit risk and corporate governance theories, the research investigates both the individual and interactive effects of these governance mechanisms on audit pricing. While previous studies have explored these relationships in developed economies, limited empirical evidence exists for emerging markets, particularly in the Gulf Cooperation Council (GCC) region. This study addresses this gap by analyzing a sample of 1,313 firm-year observations from companies listed on the Muscat Stock Exchange. Using multiple linear regression models, the analysis tests the direct effects of CEO accounting expertise and audit committee independence, as well as their interaction, on audit fees. The results reveal that CEO accounting expertise is negatively associated with audit fees, suggesting that CEOs with financial knowledge reduce auditors' perceived engagement risk. In contrast, audit committee independence shows a marginally positive relationship with audit fees, indicating a demand for higher audit assurance. Importantly, the interaction between CEO expertise and audit committee independence is positively and significantly related to audit fees, implying that auditors respond to dual-layered governance strength with increased audit effort and cost. This study contributes to the literature by offering new insights into how governance dynamics influence audit pricing in an emerging market context. The findings have implications for auditors, boards, and policymakers seeking to enhance audit quality and governance effectiveness within Oman and similar institutional settings.

Family business metastasis: an analogy of dissemination and corporate collapse

Wed, 13 May 2026 00:00:00 -0500

Organizational decline, which might be seen as an involutionary process, has primarily been examined through a life cycle lens and, more recently, from a biological standpoint. This research introduces the concept of family business metastasis (FBM), which describes how detrimental practices and negative organizational cultures spread within a company. Findings suggest that FBM significantly undermines workplace culture, diminishes productivity, and heightens employee turnover, substantially increasing the likelihood of family firm failure. Key contributors to FBM include inadequate leadership, insufficient accountability and innovation, and poor communication.

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Corporate governance mechanisms and audit pricing: evidence on ceo accounting expertise and audit committee independence in an emerging market

Family business metastasis: an analogy of dissemination and corporate collapse