Habtamu Berhanu (PhD)Seble Bejiga2025-04-082025-04-082025-03-05https://etd.aau.edu.et/handle/123456789/5292This study examines the determinants of external audit effectiveness in Ethiopia’s hospitality industry, focusing on five-star hotels in Addis Ababa. It explores the impact of auditor qualifications, independence, regulatory frameworks, management cooperation, and industry-specific challenges on audit effectiveness. A quantitative approach was employed, combining quantitative data collected through structured questionnaires from external auditors and hotel management. Descriptive and inferential statistical methods were applied using STATA software to analyze the data. Findings indicate that auditor competence, independence, and a strong regulatory framework significantly enhance audit effectiveness, while industry challenges and limited management cooperation hinder the process. The study underscores the need for strengthened regulations and improved collaboration between auditors and hotel management to enhance financial transparency and accountability in the sectorenThesis