ABSTRACT
Purpose: This work investigates the relationships between stock exchange crashes and accounting scandals.Design/methodology: We analyze the main accounting scandals and stock exchange crashes that occurred between 1980 and 2020. Findings: First of all, it was verified that a stock market crash occurred in the years in which most of the accounting scandals took place (or within the next three years). This evidence is consistent with much of the previous literature. Second, an average of 5.4 years has been estimated as the period of time that elapses between the time a company starts engaging in accounting deception and the moment when it is discovered and the scandal breaks out. Third, it has been found that accounting deception is more likely to occur in years with stock market crashes and in the years immediately following. The literature review revealed no evidence supporting the two latter hypotheses.Research limitations/implications: This exploratory work has several limitations. First of all, only scandals that have been reported on websites in Spanish and English have been analyzed. Therefore, the sample may be biased, giving more weight to companies from Anglo-Saxon and Spanish-speaking countries. Second, the sample was made up of a small number of companies (53), which are those that have met the search criteria used.Practical implications: The findings of this work are relevant today, since a major stock exchange crash has occurred as a result of the coronavirus. Therefore, if the pattern of the most recent decades is repeated, it would be expected that more accounting scandals will come to light in the coming years.Social implications: The conclusions obtained are of great relevance for the different users of the financial information from companies, and also for auditors, consultants and supervisory bodies, since due to the stock exchange crash triggered by COVID-19, they will need to exercise extreme caution in the coming years in relation to financial information.Originality/value: The work provides evidence on the relationship between stock market crashes and accounting scandals, which is a highly relevant topic. The literature review revealed no study using the same methodology or a similar sample of companies.
ABSTRACT
Distribution companies in the Spanish agri-food sector have shown a high level of resilience during the COVID-19 crisis, as they have always guaranteed a high availability of product in stores (more than 90%) despite the changes in demand themselves from such an uncertain context. The scientific literature already identifies some specific factors that can positively influence the robustness of their logistics processes, such as proximity supply models, collaboration between value chain actors, and customeroriented strategies. But this chapter seeks to delve into the relevance that technology can have as an element of supply chain resilience, concluding that it is an important but not yet determining factor. The companies that took part in the study, which represent more than 50% of the Spanish agri-food distribution, have shown that the technological capacity of their companies does not have a direct correlation with their current level of resilience, although in at the same time, they consider it a binomial that has a lot of potential and needs to be developed. © 2021, IGI Global. All rights reserved.