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In this study, we examine whether auditors use a new business as a bargaining chip in audit pricing. Taking the launch of China's pilot regional emissions-trading schemes (ETSs) as a quasi-natural experiment, we find that mandatory participation in an ETS results in increased audit fees subsequent to implementation of the regulation. Adopting both empirical and textual analyses to exclude three alternative explanations (auditing effort, audit risk, and reporting risk), our results suggest that a new business is used as a bargaining chip by auditors when they negotiate audit fees with their clients. Additional empirical tests suggest that pilot companies experience an increase in audit fees after ETS implementation only when the companies have less importance to the auditors, companies' CFOs do not have experience working in an accounting firm and signing auditors are better educated. These findings demonstrate that the mandatory implementation of an ETS creates a new accounting business and alters the auditor–auditee bargaining dynamics. [ABSTRACT FROM AUTHOR]

Entrepreneurial passion is seen as a valuable predictor of entrepreneurs' behavior and performance. We explored what makes entrepreneurs passionate by adopting a qualitative research method from a social support perspective. To test our hypotheses we conducted a survey with 287 young entrepreneurs in China. Using structural equation modeling we studied the impact of three types of support from the family on entrepreneurial passion. The results show that financial support and social capital support had a stronger influence on entrepreneurial passion than did emotional support. Further, psychological capital played a partial mediating role in the relationship between family support and entrepreneurial passion. This study enhances the integrity of previous research conclusions on entrepreneurial passion and, in particular, provides further insight into the development of nascent entrepreneurs and their new businesses. [ABSTRACT FROM AUTHOR]

The global economies and international organizations are inclined towards sustainable growth, technological advancements and product innovations. China is the leading economy in information and communication technologies and among the major industrially expanded economies covering a substantial share of the global market in exports. The prime objective of this study is to explore the role of digitalization and Information and communication technologies (ICT) for product innovation (PIN). In doing so, the study also attempts to draw some novel implications regarding business, entrepreneurship, and product innovation in the lens of sustainability. This current study use the annual data of China from 1990-2020. The empirical analysis was conducted using the stationarity testing and the Johansen cointegration test. In addition, due to the data's asymmetrical distribution, the non-parametric "quantile regression" is used. For robustness, this study employs the Fully Modified Ordinary Least Square, Canonical Cointegration, and Dynamic Ordinary Least Square methods. The empirical results reveal that economic progress and financial development are substantial factors of product innovation. The robust analysis reveals that medium and high-tech industries and information and communication technology adversely affect product innovation. Further, the presence of financial development transforms the negative influence of information and communication technology into a positive. The current study concludes more investments in the technological industry are required to encourage product innovation in China. The study discusses some policy-related implications in the context of business sustainability and product innovation., Competing Interests: Declaration of Conflicting InterestsThe author(s) declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.