Globalization and its Effects on the Harmonization of Financial Information for Small and Medium Enterprises

• Afonso Vagarecha Cabiço Muibo Universidad Juárez Autónoma de Tabasco, Villahermosa, México. https://orcid.org/0000-0002-0330-0215
• Germán Martínez Prats Universidad Juárez Autónoma de Tabasco, Villahermosa, México. https://orcid.org/0000-0001-6371-448X
• Casandra Ángeles Guzmán Universidad Juárez Autónoma de Tabasco, Villahermosa, México. https://orcid.org/0000-0002-2902-6285

DOI: https://doi.org/10.46925//rdluz.38.22

Keywords: Globalization, harmonization, financial information, accounting standards, standardization

Abstract

Small and medium-sized enterprises represent a preponderant part of developed and developing economies. As a consequence of globalization and its importance for economies, the need to harmonize and standardize financial information is essential for this business segment. The adoption of International Financial Reporting Standards (including International Accounting Standards) will allow the financial statements prepared by small and medium-sized enterprises to be comparable in different countries of the world. The main objective of the article is to analyze the effect of globalization on the harmonization of the financial information of small and
medium-sized enterprises, through a documentary review to check the recent international solutions for the achievement of their activity. The article is developed from a qualitative approach, with a descriptive scope. For the collection of information, databases such as EBSCO, Elsevier, Emerald, Scopus, Google Scholar and Science Direct stand out. The study shows that the implementation of the International Financial Reporting Standards is observed in many countries in the world, although many others still do not use them, it is expected that they will be able to implement them in the near future.

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