caa a22 4500 605483817 CHVBK 20210128100433.0 cr unu---uuuuu 210128e20151101xx s 000 0 eng 10.1007/s10551-013-2023-5 doi (NATIONALLICENCE)springer-10.1007/s10551-013-2023-5 Chakrabarty Subrata Department of Management, College of Business Administration, University of Nebraska - Lincoln, 68588-0491, Lincoln, NE, USA aut The Influence of Unrelated and Related Diversification on Fraudulent Reporting [Elektronische Daten] [Subrata Chakrabarty] This study suggests that unrelated diversification has a positive influence on the probability of fraudulent reporting whereas related diversification has a negative influence on the probability of fraudulent reporting. The strength of the influence of these corporate level strategies is contingent on the moral character of the firm. Unrelated diversification provides opportunity for financial innovation within the firm's internal capital market, which can result in fraudulent reporting. This is more likely when the moral character of the firm is driven by a conscienceless financial self-interest motive, as implied by the firm's contempt toward the larger community (in terms of damage inflicted on the interests of people outside the firm). In contrast, related diversification, where product divisions focus on mutual sharing and monitoring of operational activities, can reduce the probability of fraudulent reporting. This is more likely when constituents within the firm view themselves as moral citizens, as implied by the firm's benevolence toward the larger community. Hence, while unrelated diversification focuses the energies of managers within the firm on financial manipulation, related diversification focuses these energies on productive purposes. Springer Science+Business Media Dordrecht, 2013 Fraudulent reporting nationallicence Unrelated diversification nationallicence Related diversification nationallicence Community nationallicence Corporate social responsibility nationallicence Sustainability nationallicence Corporate governance nationallicence Agency theory nationallicence Stakeholder theory nationallicence Journal of Business Ethics Springer Netherlands 131/4(2015-11-01), 815-832 0167-4544 131:4<815 2015 131 10551 https://doi.org/10.1007/s10551-013-2023-5 text/html Onlinezugriff via DOI BK010053 XK010053 XK010000 Metadata rights reserved Springer special CC-BY-NC licence nationallicence 1 research-article jats NATIONALLICENCE NATIONALLICENCE NL-springer NATIONALLICENCE 856 40 https://doi.org/10.1007/s10551-013-2023-5 text/html Onlinezugriff via DOI NATIONALLICENCE 100 1- Chakrabarty Subrata Department of Management, College of Business Administration, University of Nebraska - Lincoln, 68588-0491, Lincoln, NE, USA aut NATIONALLICENCE 773 0- Journal of Business Ethics Springer Netherlands 131/4(2015-11-01), 815-832 0167-4544 131:4<815 2015 131 10551