State-owned enterprises and corporate scandals: a systematic literature review

Purpose This review aims to examine corporate scandals in state-owned enterprises (SOEs) from 1900 to 2024. It highlights the importance of studying SOE scandals, outlines their distinct features compared to non-SOEs, synthesizes the existing literature and suggests future research directions. The theoretical focus includes SOE governance, financial practices and the balance between state control and commercial objectives. Design/methodology/approach A systematic literature review was conducted using Scopus and Web of Science. Topics include SOEs, financing, cash flow manipulation, political ties, market credibility and corruption-related scandals. This study considers the role of certification, disclosure, governance and reputation in shaping spillovers and audit quality. Findings Ongoing scrutiny is crucial for understanding governance mechanisms, auditing, contracting practices and market-oriented incentives within SOEs. Critical research gaps are identified, underscoring the need for contemporary studies to inform effective governance practices. Trends and gaps are analyzed, emphasizing the influence of political ties and scandals, potentially providing theoretical insights and practical implications for practitioners and policymakers. Originality/value This systematic literature review contributes to the discussion on corporate scandals in SOEs, a topic often neglected in the literature. By systematizing existing research and identifying gaps for future research, this study provides new insights for research on SOE governance and, at a practical level, for establishing strategies to mitigate scandals.