ABSTRACT: Using the Miles and Snow (1978) strategy typology, this study investigates whether business strategy is associated with the quality of reported earnings. In a sample of U.S. listed firms, we predict and find that defender strategy firms are associated with higher levels of earnings management and prospector-strategy firms are associated with higher levels of...

Knowing whether an organization will fail is useful information for investors and other stakeholders. Looking to 36 New Zealand corporate failures (2001-2010), we find that anticipation of their demise was not clearly signalled in the public media. The question then emerges as to whether better forecasts of impending failure could have been derived from information...