The institutionalisation of commercialism in the audit profession: How auditors constitute the commercial self in a large Chinese audit firm

Abstract

Purpose

Previous literature on the commercialisation of the audit profession has focused on the coercive force of macro-institutional structures. The purpose of this paper is to focus on the agency of individual auditors and examine their active construction of the commercial self in a Big Four audit firm in China.

Design/methodology/approach

This paper applied a qualitative research approach to data collection and analysis. A total of 17 interviews were conducted with senior auditors, managers, directors and partners to generate a rich narrative.

Findings

This study analyses prevalent discourses identified in the Chinese organisational setting and finds that, within the “clan-like” structure of the audit engagement team, three recurring discourses (i.e. the client relationship, adding value and career) were powerful scripts in constructing individual subjectivity wherein the “professionalism” ideal was re-enacted to rationalise the incorporation of more commercialistic elements.

Research limitations/implications

This study collected interviews representing various perspectives within a Big Four audit firm in China. Nonetheless, the scope of this study was limited to certain types of audit firms at certain times.

Originality/value

This study demonstrates that the scripts are not just a matter of self-presentation, but important sources of self-formation and self-definition. Rather than being imposed externally, “commercial selves” are actively constructed by individual auditors, leading to the institutionalisation of commercialism in the audit profession at the micro level.

Citation

Wen, W. (2020), "The institutionalisation of commercialism in the audit profession: How auditors constitute the commercial self in a large Chinese audit firm", Journal of Accounting in Emerging Economies, Vol. 10 No. 2, pp. 191-205. https://doi.org/10.1108/JAEE-02-2019-0049