Factors Affecting Awareness of Applying International Accounting Standards at Enterprises in Thanh Hoa Province, Vietnam

In the current context of strong globalization, using a common language for the business community through applying the International Financial Reporting Standards (IFRS) system in preparing financial reports is important. Absolutely necessary. However, reality shows that applying IFRS also faces many difficulties and challenges due to unavoidable differences in accounting systems between countries. This difference causes many difficulties for users in assessing the quality of financial reports in each country, as well as when comparing reports globally. In the world, there are currently many countries that apply all of IFRS. Besides, there are some countries that only apply part of IFRS, while Vietnam has not applied IFRS but only applies Vietnamese accounting standards (VAS). However, based on Decision No. 345/QD/BTC dated March 16, 2020 of the Minister of Finance approving the project to apply international financial reporting standards (IFRS) in Vietnam. In this decision, it is clearly stated that Vietnamese enterprises should be encouraged to apply IFRS in its entirety, if they have all the necessary conditions. Thus, awareness of the importance of applying ISRS is very necessary for businesses. The article conducts a survey on the awareness of international accounting issues of 130 businesses in Thanh Hoa province, Vietnam, who are business managers and accountants, about their awareness of the application of international accounting standards. Through research results, the author points out the current situation regarding the application of international financial reporting standards. At the same time, the study also proposes directions to help business managers and accountants improve their awareness and approach to the issue of international accounting convergence, including awareness opportunities and challenges, thereby improving understanding and approaches to the issue of international accounting convergence and applying international accounting standards to businesses in the digital era.