Currently, Vietnam is applying the Vietnamese Accounting Standards in the preparation and presentation of the Financial Statements with 26 standards. However, the rapidly growing economy increasingly requires Vietnam to integrate with international financial reporting standards in order to attract foreign investors to invest in capital markets and enterprises in Vietnam. The main objective of the study is to find out the factors affecting the intention of enterprises participating in applying the International Financial Reporting Standards in Vietnam. The study uses the Partial Least Squares-Structural Equation Modeling with survey data of 400 enterprises in Ho Chi Minh City. The results show that the factors affecting the intentions of enterprises include: Attitudes and Subjective norms of business managers. “Attitude” with three components: Social feedback assessment, Belief in benefits, and Risk perception. The “Subjective norms” is influenced by Belief and Motivation.
Citation: Ho Dinh Phi, Ly Do Khanh, Thuong Vo Khac, Tran Ngoc Thanh, Minh Bui Quang (2021) Factors Affecting Enterprises’ Intention to Apply International Accounting Standards: An Empirical Evidence of Ho Chi Minh City, Vietnam, European Journal of Accounting, Auditing and Finance Research, Vol.9, No. 7, pp.38-54
Keywords: Vietnam, international financial reporting standards; attitude norm; subjective norm; partial least squares-structural equation modeling; Ho Chi Minh City
