What type of study is this?

This is a Observational study (also classified as: Literature Review).

August 17, 2025

National Accounting Culture and Its Effect on Financial Reporting in a Globalized World Research in Progress

Key Points

Cultural values significantly affect financial disclosures even with IFRS compliance, highlighting interesting findings in a global context.
The analysis used consolidated financial statements from 2021 to 2023 across the UK, Germany, and Poland, focusing on diverse cultural backgrounds.
Empirical research reveals that CEE countries are often overlooked in comparative studies, indicating a research gap in financial reporting practices.
This research emphasizes the importance of understanding cultural influences on financial disclosures, potentially impacting global accounting standards.

Abstract

The primary objective of this study is to investigate the impact of culture (as measured by Hofstede) on disclosures in financial statements prepared under International Financial Reporting Standards (IFRS) by firms from different countries. The sample will comprise 2021-2023 consolidated financial statements of listed companies (excluding banks, insurance, and other financial institutions) from three countries representing different cultural areas: the United Kingdom (Anglo), Germany (Germanic) and Poland (Central Eastern Europe, CEE). We will empirically test whether the cultural values have a significant impact on financial disclosures even after the use of IFRS. The paper is one of the few comparative studies attempting to assess the effects of culture on financial disclosures in Western Europe countries and CEE countries. Most of the international comparative studies in this research area have neglected CEE countries.

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