The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam

Le Ngoc Huynh; Thai Hong Thuy Khanh; Trinh Xuan Hoang

doi:doi:10.11648/j.jfa.20241201.11

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The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam

Le Ngoc Huynh, Thai Hong Thuy Khanh^*, Trinh Xuan Hoang

Published in Journal of Finance and Accounting (Volume 12, Issue 1)

Received: 28 December 2023 Accepted: 9 January 2024 Published: 23 January 2024

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Abstract

This study investigates the determinants influencing Small and Medium-sized Enterprises' (SMEs) intention to adopt International Financial Reporting Standards (IFRS) in Ho Chi Minh City, Vietnam. Utilizing primary data from questionnaires, the research adopts a methodological framework encompassing descriptive statistics, scale testing, factor analysis, and the use of SPSS for regression and correlation matrix analysis. The focal point of this study is to understand the complex interplay of factors that drive SMEs in a globalized economic setting towards the adoption of IFRS, a global accounting standard that facilitates transparent and comparable financial reporting across international boundaries. While Vietnam has its own Vietnam Accounting Standards (VAS), the shift towards IFRS presents both challenges and opportunities in the realm of global financial integration. The transition from VAS to IFRS is not just a technical change but a strategic move, aligning Vietnamese SMEs with global financial practices. This research provides a comprehensive evaluation of the feasibility, advantages, and obstacles encountered by SMEs in this transition. The findings illuminate various organizational, governmental, and market-related factors that influence this decision. The Vietnamese government's roadmap for IFRS implementation by 2035 highlights the country's commitment to aligning with international financial trends. This paper contributes to the understanding of IFRS adoption among SMEs in emerging economies, offering insights for policymakers and business leaders in navigating this transition.

Published in	Journal of Finance and Accounting (Volume 12, Issue 1)
DOI	10.11648/j.jfa.20241201.11
Page(s)	1-11
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2024. Published by Science Publishing Group

Keywords

International Financial Reporting Standards (IFRS), Small and Medium-Sized Enterprises (SMEs), Ho Chi Minh City, Vietnam, Vietnam Accounting Standards (VAS), Globalization

References

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APA Style

Huynh, L. N., Khanh, T. H. T., Hoang, T. X. (2024). The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam. Journal of Finance and Accounting, 12(1), 1-11. https://doi.org/10.11648/j.jfa.20241201.11

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ACS Style

Huynh, L. N.; Khanh, T. H. T.; Hoang, T. X. The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam. J. Finance Account. 2024, 12(1), 1-11. doi: 10.11648/j.jfa.20241201.11

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AMA Style

Huynh LN, Khanh THT, Hoang TX. The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam. J Finance Account. 2024;12(1):1-11. doi: 10.11648/j.jfa.20241201.11

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@article{10.11648/j.jfa.20241201.11,
  author = {Le Ngoc Huynh and Thai Hong Thuy Khanh and Trinh Xuan Hoang},
  title = {The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam},
  journal = {Journal of Finance and Accounting},
  volume = {12},
  number = {1},
  pages = {1-11},
  doi = {10.11648/j.jfa.20241201.11},
  url = {https://doi.org/10.11648/j.jfa.20241201.11},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20241201.11},
  abstract = {This study investigates the determinants influencing Small and Medium-sized Enterprises' (SMEs) intention to adopt International Financial Reporting Standards (IFRS) in Ho Chi Minh City, Vietnam. Utilizing primary data from questionnaires, the research adopts a methodological framework encompassing descriptive statistics, scale testing, factor analysis, and the use of SPSS for regression and correlation matrix analysis. The focal point of this study is to understand the complex interplay of factors that drive SMEs in a globalized economic setting towards the adoption of IFRS, a global accounting standard that facilitates transparent and comparable financial reporting across international boundaries. While Vietnam has its own Vietnam Accounting Standards (VAS), the shift towards IFRS presents both challenges and opportunities in the realm of global financial integration. The transition from VAS to IFRS is not just a technical change but a strategic move, aligning Vietnamese SMEs with global financial practices. This research provides a comprehensive evaluation of the feasibility, advantages, and obstacles encountered by SMEs in this transition. The findings illuminate various organizational, governmental, and market-related factors that influence this decision. The Vietnamese government's roadmap for IFRS implementation by 2035 highlights the country's commitment to aligning with international financial trends. This paper contributes to the understanding of IFRS adoption among SMEs in emerging economies, offering insights for policymakers and business leaders in navigating this transition.
},
 year = {2024}
}

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TY  - JOUR
T1  - The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam
AU  - Le Ngoc Huynh
AU  - Thai Hong Thuy Khanh
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DO  - 10.11648/j.jfa.20241201.11
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
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PB  - Science Publishing Group
SN  - 2330-7323
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AB  - This study investigates the determinants influencing Small and Medium-sized Enterprises' (SMEs) intention to adopt International Financial Reporting Standards (IFRS) in Ho Chi Minh City, Vietnam. Utilizing primary data from questionnaires, the research adopts a methodological framework encompassing descriptive statistics, scale testing, factor analysis, and the use of SPSS for regression and correlation matrix analysis. The focal point of this study is to understand the complex interplay of factors that drive SMEs in a globalized economic setting towards the adoption of IFRS, a global accounting standard that facilitates transparent and comparable financial reporting across international boundaries. While Vietnam has its own Vietnam Accounting Standards (VAS), the shift towards IFRS presents both challenges and opportunities in the realm of global financial integration. The transition from VAS to IFRS is not just a technical change but a strategic move, aligning Vietnamese SMEs with global financial practices. This research provides a comprehensive evaluation of the feasibility, advantages, and obstacles encountered by SMEs in this transition. The findings illuminate various organizational, governmental, and market-related factors that influence this decision. The Vietnamese government's roadmap for IFRS implementation by 2035 highlights the country's commitment to aligning with international financial trends. This paper contributes to the understanding of IFRS adoption among SMEs in emerging economies, offering insights for policymakers and business leaders in navigating this transition.

VL  - 12
IS  - 1
ER  -

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Author Information

Le Ngoc Huynh

Faculty of Finance and Accounting, Nguyen Tat Thanh University, HoChiMinh City, Vietnam

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Thai Hong Thuy Khanh

Faculty of Business Administration, Malaysia University Science and Technology, Selango City, Malaysia

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Trinh Xuan Hoang

Faculty of Finance and Accounting, Nguyen Tat Thanh University, HoChiMinh City, Vietnam; Faculty of Business Administration, Malaysia University Science and Technology, Selango City, Malaysia

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Plain Text BibTeX RIS

APA Style

Huynh, L. N., Khanh, T. H. T., Hoang, T. X. (2024). The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam. Journal of Finance and Accounting, 12(1), 1-11. https://doi.org/10.11648/j.jfa.20241201.11

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ACS Style

Huynh, L. N.; Khanh, T. H. T.; Hoang, T. X. The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam. J. Finance Account. 2024, 12(1), 1-11. doi: 10.11648/j.jfa.20241201.11

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AMA Style

Huynh LN, Khanh THT, Hoang TX. The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam. J Finance Account. 2024;12(1):1-11. doi: 10.11648/j.jfa.20241201.11

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@article{10.11648/j.jfa.20241201.11,
  author = {Le Ngoc Huynh and Thai Hong Thuy Khanh and Trinh Xuan Hoang},
  title = {The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam},
  journal = {Journal of Finance and Accounting},
  volume = {12},
  number = {1},
  pages = {1-11},
  doi = {10.11648/j.jfa.20241201.11},
  url = {https://doi.org/10.11648/j.jfa.20241201.11},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20241201.11},
  abstract = {This study investigates the determinants influencing Small and Medium-sized Enterprises' (SMEs) intention to adopt International Financial Reporting Standards (IFRS) in Ho Chi Minh City, Vietnam. Utilizing primary data from questionnaires, the research adopts a methodological framework encompassing descriptive statistics, scale testing, factor analysis, and the use of SPSS for regression and correlation matrix analysis. The focal point of this study is to understand the complex interplay of factors that drive SMEs in a globalized economic setting towards the adoption of IFRS, a global accounting standard that facilitates transparent and comparable financial reporting across international boundaries. While Vietnam has its own Vietnam Accounting Standards (VAS), the shift towards IFRS presents both challenges and opportunities in the realm of global financial integration. The transition from VAS to IFRS is not just a technical change but a strategic move, aligning Vietnamese SMEs with global financial practices. This research provides a comprehensive evaluation of the feasibility, advantages, and obstacles encountered by SMEs in this transition. The findings illuminate various organizational, governmental, and market-related factors that influence this decision. The Vietnamese government's roadmap for IFRS implementation by 2035 highlights the country's commitment to aligning with international financial trends. This paper contributes to the understanding of IFRS adoption among SMEs in emerging economies, offering insights for policymakers and business leaders in navigating this transition.
},
 year = {2024}
}

Copy | Download

TY  - JOUR
T1  - The Factors Influencing the Intention to Adopt International Financial Reporting Standards (IFRS) of SMEs in Ho Chi Minh City, Vietnam
AU  - Le Ngoc Huynh
AU  - Thai Hong Thuy Khanh
AU  - Trinh Xuan Hoang
Y1  - 2024/01/23
PY  - 2024
N1  - https://doi.org/10.11648/j.jfa.20241201.11
DO  - 10.11648/j.jfa.20241201.11
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
SP  - 1
EP  - 11
PB  - Science Publishing Group
SN  - 2330-7323
UR  - https://doi.org/10.11648/j.jfa.20241201.11
AB  - This study investigates the determinants influencing Small and Medium-sized Enterprises' (SMEs) intention to adopt International Financial Reporting Standards (IFRS) in Ho Chi Minh City, Vietnam. Utilizing primary data from questionnaires, the research adopts a methodological framework encompassing descriptive statistics, scale testing, factor analysis, and the use of SPSS for regression and correlation matrix analysis. The focal point of this study is to understand the complex interplay of factors that drive SMEs in a globalized economic setting towards the adoption of IFRS, a global accounting standard that facilitates transparent and comparable financial reporting across international boundaries. While Vietnam has its own Vietnam Accounting Standards (VAS), the shift towards IFRS presents both challenges and opportunities in the realm of global financial integration. The transition from VAS to IFRS is not just a technical change but a strategic move, aligning Vietnamese SMEs with global financial practices. This research provides a comprehensive evaluation of the feasibility, advantages, and obstacles encountered by SMEs in this transition. The findings illuminate various organizational, governmental, and market-related factors that influence this decision. The Vietnamese government's roadmap for IFRS implementation by 2035 highlights the country's commitment to aligning with international financial trends. This paper contributes to the understanding of IFRS adoption among SMEs in emerging economies, offering insights for policymakers and business leaders in navigating this transition.

VL  - 12
IS  - 1
ER  -

Copy | Download