In the UK, SSAP 13 requires that firms immediately expense most of their R&D expenditures.The reported earnings of high-R&D expenditure firms are therefore likely to convey less valuerelevantinformation to investors than those of less research-intensive firms. Using a sample offirms from the...

Purpose – The purpose of this editorial is to discuss the problems inherent in examining the effectiveness of corporate governance without explicit consideration of the environment faced by firms. It advocates a contingency approach to the research area, illustrating its ideas by reference to...

Purpose – The paper aims to examine the link between firm‐level large share price movements, firm‐specific company announcements and corporate governance. Stock market regulation in the UK requires firms to disclose new price‐sensitive information immediately via official news providers....