The purpose of this study is to examine the efficacy of XBRL-tagged information from the perspective of preparers/filers. This study primarily compares service provider selections and switches on information comparability among firms from different industries and across the pre- and post-XBRL periods. This study further examines the impact of two XBRL classifications (standardized official vs. customized extensions elements) within-industry comparability to identify the service provider types underlying the comparability improvement. Our results demonstrate that when the service provider is a leading player in a specific industry, the client is less likely to switch to a new provider as the provider may have better reputation or expertise in the industry. Second, we find that the switch results in fewer extension elements and fewer standard elements used in filings. Our overall results are robust to alternative sample specifications as well different dependent and control variable specifications.
Lim, Jee-Hae and Wang, Tawei, "THE IMPACT OF SERVICE PROVIDER SWITCHES ON XBRL QUALITY" (2016). PACIS 2016 Proceedings. 28.