We aim to investigate the underlying logics of small and medium-sized enterprises’ (SMEs’) attitudes toward sustainability reporting (SR) in a post-communist country, namely Romania.
We survey accountants as key actors in SMEs and mobilize an institutional logics perspective to explore how SMEs deal with the perceived significant shifts occurring with the arrival of SR. We employ convenience and purposive (nonprobability) sampling to identify respondents and analyze 271 answers received in June 2024 from experienced (187) and junior (84) Romanian SME accountants.
We find that legal and tax-related factors, followed by SR expertise and accounting infrastructure, are important enablers of, and barriers to, SR in Romanian SMEs. Accounting professionals in SMEs begin to see a role for themselves in SR, but to different degrees. This diversity is explained through the co-existence of profit and efficiency, sustainability, and regulatory compliance (state) logics to various degrees. We also show the influence of state logic on the relationship between the profit and sustainability logics, often considered as being in competition.
We only survey accountants in one country, which may limit the transferability of our findings to other settings. Additional limitations stem from the research method employed, as surveys only measure the perception of respondents in lieu of actual organizational practices.
Through our chosen research setting, we respond to calls to contextualize institutional logics and to move away from the West. This in-depth study is intended to inform the literature on SR in SMEs with insights from an under-researched setting.
