Most mixing bowls that are marketed at home cooks are sold in relatively standard sets of three with a small, medium and large bowl. Recipes, in an attempt to help non-pro bakers get the best results possible, often indicate whether a large, medium or small bowl is called for in a given step. The reason for this is that some home cooks will try and work in a bowl that is far too small for the job at hand, so that cookie dough might be spilling over the top of the bowl when they stir in chocolate chips and they have to stir very slowly to prevent a liquid batter from sloshing over the sides of a bowl.
Now, I am by no means trying to say that all home cooks are like this, but am willing to admit that before I baked all the time and owned such a large selection of mixing bowls (both home-chef types and “pro” types), I also used to try and squeeze things in to a slightly too small bowl. Making the switch to larger mixing bowls, even if it means that there is slightly more surface area to clean when you’re doing the dishes, makes a lot of cooking and baking easier. Mixing bowls are sold in a huge variety of sizes (I like lightweight stainless steel), all of which you can find if you do your shopping at a restaurant supply store. Pick up some larger ones, especially if you’ve struggled with fitting things into smaller bowls. It’ll make things much easier.
And to answer the question above, it is possible to have a mixing bowl that is too large if your bowl is a crazy industrial size and you’re just trying to mix up a batch of pancakes (though it should still get the job done). Other than that, bigger is usually better when it comes to bowls.