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Voluntary adoption of International Financial Reporting Standards by large unlisted companies in Portugal – Institutional logics and strategic responses

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  • Guerreiro, Marta Silva
  • Rodrigues, Lúcia Lima
  • Craig, Russell

Abstract

Common explanations for the voluntary adoption of International Financial Reporting Standards (IFRS) have been based on economic efficiency arguments. This paper introduces new theoretical arguments to explain how institutional pressures influence decisions to adopt IFRS voluntarily. Through recourse to an institutional theory context, we combine the analytical framework proposed by Oliver (1991) with the concept of institutional logics, and apply this framework to the financial accounting field for the first time. This combined model shows how multiple forms of rationality constrain company responses to pressures to adopt a new accounting regime.

Suggested Citation

  • Guerreiro, Marta Silva & Rodrigues, Lúcia Lima & Craig, Russell, 2012. "Voluntary adoption of International Financial Reporting Standards by large unlisted companies in Portugal – Institutional logics and strategic responses," Accounting, Organizations and Society, Elsevier, vol. 37(7), pages 482-499.
  • Handle: RePEc:eee:aosoci:v:37:y:2012:i:7:p:482-499
    DOI: 10.1016/j.aos.2012.05.003
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    Cited by:

    1. Cannizzaro, Anthony P. & Weiner, Robert J., 2015. "Multinational investment and voluntary disclosure: Project-level evidence from the petroleum industry," Accounting, Organizations and Society, Elsevier, vol. 42(C), pages 32-47.
    2. Canning, Mary & O'Dwyer, Brendan, 2016. "Institutional work and regulatory change in the accounting profession," Accounting, Organizations and Society, Elsevier, vol. 54(C), pages 1-21.
    3. repec:bla:acctfi:v:57:y:2017:i::p:255-276 is not listed on IDEAS
    4. repec:eee:crpeac:v:25:y:2014:i:6:p:489-510 is not listed on IDEAS
    5. Kim, Oksana, 2016. "The IFRS Adoption Reform through the Lens of Neoinstitutionalism: The Case of the Russian Federation," The International Journal of Accounting, Elsevier, vol. 51(3), pages 345-362.
    6. Alon, Anna & Dwyer, Peggy D., 2014. "Early Adoption of IFRS as a Strategic Response to Transnational and Local Influences," The International Journal of Accounting, Elsevier, vol. 49(3), pages 348-370.
    7. Saori Matsubara & Takahiro Endo, 2016. "The Role of Local Accounting Standard Setters in Institutional Complexity: 'Explosion' of Local Standards in Japan," Discussion Paper Series DP2016-35, Research Institute for Economics & Business Administration, Kobe University.
    8. Sara Paralta, 2014. "Accounting Standards and Market Value of Firms with Pension Plans," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 4(11), pages 31-42, November.

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