Accounting Theory Research Essay
Instructions This assignment is a research-based essay where you are required to relate a real world case study to accounting theory. Below you will find links to two news articles relating to the recent announcement by Woolworths that it is spinning off its drinks and hospitality business interests next year.Whilst these articles provide the context for this assignment, you need to ensure that you also refer to other sources. You also need to incorporate both academic and non-academic articles but must have at least 10 academic journal article references from which you will refer to theoretical issues. (Please make sure that you know what an academic reference is).
In your answers, you are expected to establish the links between theory and practice. Using the news articles provided below as a base, and referring to other appropriate literature, discuss and critically evaluate the following:
Determine the facts of the case.
Identify and discuss why Woolworths is exiting the pokies and alcohol businesses. What had been the possible issues and problems faced by Woolworths in the past?
Describe the main stakeholders whom may have lobbied/pressured Woolworths to take these actions.
Using Stakeholder Theory, explain the likely motivations for these stakeholder groups (basing your discussion on your application of Stakeholder Theory).
Using Legitimacy Theory and the social contract, explain how this theory and concept apply to the case, and what benefits will Woolworths gain because of its impending actions.
Which of the above theories is important from Woolworths’ perspective of cementing its place in the supermarket industry, giving reasons for your choice.What legitimation strategies can Woolworths adopt to enhance their standing in the community? Describe your strategies and give reasons why these are appropriate in the current circumstances. The relationship between accounting research and professional practice has been discussed in the literature (Parker, Guthrie & Linacre 2011). This article needs to inform your arguments. Links to the articles are provided here:
The essay should include an abstract, introduction, body, conclusion and references. The maximum word count is 1,400 words (not negotiable) excluding the extract and references.