The importance of financial audit: Benefits, challenges and service quality towards client loyalty

• Published in: ISBEIA 2012 - IEEE Symposium on Business, Engineering and Industrial Applications
• Main Author: Mohd-Sanusi Z.; Mat-Isa Y.; Mohamed M.; Lee T.-H.; Takiah M.-I.
• Format: Conference paper
• Language: English
• Published: 2012
• Online Access: https://www.scopus.com/inward/record.uri?eid=2-s2.0-84874392970&doi=10.1109%2fISBEIA.2012.6422962&partnerID=40&md5=6e30eb492e09a67037491e64336f2d10
• DOI: 10.1109/ISBEIA.2012.6422962

The purpose of this paper is to analyze the level of client loyalty among the companies in Malaysia by considering several factors such as the benefits and challenges of an audit as well as the audit service quality provided by the audit firm. Based on 119 responses, the results indicated strong influence of audit service quality towards loyalty of the clients. Nevertheless, there is insignificant relationship contributed by audit benefits and audit challenges towards retaining clients with the audit firms. The results of the study on client loyalty have important implications to the management of the quality services provided by an audit firm. Once clients' perspectives on the dimensions of quality services are more clearly known and understood, the service providers will be in a better position to anticipate their clients' requirements rather than react to client dissatisfactions. Copyright © 2012 IEEE.