International Accounting Convergence and Divergence: Towards a Framework for Understanding De Jure Adoption of IFRS

Figures & data

Figure 1. Multi-tier IFRS adoption process.

Table 1. Institutional dimensions examined in IFRS studies.

Institutional dimensions observed		Supporting literature
Institutional dimension	General conclusions
Diffusion	It refers to the external pressure on adopting country, the nature, and the rigor of the environmental norm penetrating through the organizational field. Degree of national adoption of IFRS is dependent upon the degree of IFRS diffusion around the globe and its perceived legitimacy.	Alon and Dwyer (2014); Cooke and Wallace (1990); Hassan et al. (2014); Hope et al. (2006); Judge et al. (2010); Khlif et al. (2020); Madawaki (2012); Mita and Husnah (2015); Ramanna and Sletten (2009); Ramanna and Sletten (2014); Shima and Yang (2012); Tahat et al., (2018); Zeghal and Mhedhbi (2006); Shima and Yang (2012)
Compatibility	It refers to the compatibility between national accounting system and requirements of IFRS as well as demands from multiple constituents. Degree of national adoption of IFRS is dependent upon the compatibility of the multi-faceted pressures.	Cieslewicz (2014); Ding et al. (2005); El-Helaly, Ntim, and Soliman (2020); Guerreiro et al. (2020); Hellman et al. (2015); Hope et al. (2006); Mita & Husnah (2015); Mir & Rahaman (2005); Nobes (2008); Ramanna and Sletten (2009); Shima and Yang (2012); Zeghal and Mhedhbi (2006); Zehri and Chouaibi (2013)
Dependence	It refers to country’s economic dependence on external financing. Degree of national adoption of IFRS is affected by the level of economic dependence on IFRS-supporting constituents.	Alon and Dwyer (2014); Boolaky et al. (2018); Hassan (2008); Hassan et al. (2014); Hope et al. (2006); Irvine (2008); Judge et al. (2010); Mir and Rahaman (2005); Ramanna & Sletten (2014); Tahat et al. (2018)
Networking	It refers to the accounting regulators’ participation in IFRS networks with shared norm and economic trading. Degree of national adoption of IFRS is affected by the degree of international networking.	Cooper & Robson (2006); Elad (2015); Khlif et al. (2020); Ramanna and Sletten (2009, 2014); Shima and Yang (2012); Saudagaran and Diga (2000); Zeghal and Mhedhbi (2006); Osinubi (2020)

Figure 2. Institutional dimensions and their predictive impact on de jure IFRS adoption.

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