The concentration in the large public company audit market is also unlikely to be reduced in the near term by midsize and smaller accounting firms because a significant majority is not interested in auditing large public companies and those that are interested face various challenges in expanding their capability to do so. Over 70 percent of midsize and smaller accounting firms indicated that they were not attempting to obtain large public company clients. Approximately 90 percent of large public companies we surveyed cited lack of capacity as a reason why they would not consider using midsize or smaller firms as.
