Aklan Catholic College

Archbishop Gabriel M. Reyes St.

5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

A QUALITATIVE STUDY ON THE EFFECT OF GREEN ACCOUNTING

PRACTICES ON THE PROFITABILITY OF SMALL AND MEDIUM
ENTERPRISES (SMEs)

A Qualitative Research

Presented to

The Faculty of Business and Management Education

Aklan Catholic College

Kalibo, Aklan

In Partial Fulfillment

of the Requirements for CAEC 17

Accountancy Research

By

Bea M. Armenio

Mary Angel U. Francisco

Peter Laurean R. Idolog

Mayren D. Malinao

Stephanie Joy A. Manucan

Edlur Nicole Supe

Desiree Vedasto

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

CHAPTER I

THE PROBLEM

This Chapter presents the introduction of the study, statement of the problem,
theoretical framework, conceptual framework, significance of the study, scope and
delimitation and definition of terms.

Background of the Study

Small and medium-sized enterprises (SMEs) are the backbone of economies around
the world. They spark innovation, create jobs, and help keep local communities thriving.
But even though they play such a big role, SMEs often face real hurdles—things like
limited resources, trouble accessing funding, and difficulty making their operations more
sustainable.

One promising approach that’s been getting more attention lately is green
accounting. In simple terms, green accounting means factoring in the environmental costs
and benefits of doing business—things like how much energy is used, how waste is
managed, and the impact on natural resources. These are details that traditional
accounting often overlooks. As the world shifts toward a more sustainable future,
businesses are being encouraged to adopt these kinds of practices. Not only can they help
reduce environmental harm, but they can also lead to better long-term profits.

Small and medium-sized businesses often face a tough challenge: trying to meet
financial goals while also dealing with growing expectations to be environmentally
responsible. With limited resources, it can feel like a constant balancing act. But there’s
good news—adopting green accounting practices doesn’t just help the planet; it can
actually open up new paths for growth and success. Research shows that companies that
prioritize sustainability often enjoy real benefits like lower costs, stronger customer
loyalty, and a better position in the market. For SMEs, going green with their accounting
can lead to smarter use of resources, more efficient operations, and even higher profits—
thanks to innovations like cutting down on waste and using energy more wisely.

While there’s been plenty of research on green accounting in big companies, there’s
still a lot we don’t know about how these practices play out in small and medium-sized
businesses. Some studies suggest that SMEs might shy away from going green because
they think it’s too expensive. But others argue that adopting environmentally friendly
practices—like green accounting—can actually help cut costs and boost profits.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

This research sets out to dig deeper into that question. Specifically, it looks at how
green accounting affects the profitability of SMEs, especially in emerging markets where
sustainability is becoming a bigger priority and regulations are still taking shape. The
goal is to understand how small businesses are weaving environmental thinking into their
everyday operations—and whether it’s paying off financially.

By focusing on SMEs, this study hopes to shed light on how green accounting can
be a win-win: supporting both the planet and the bottom line. The findings could offer
helpful guidance for policymakers, business owners, and researchers alike, with practical
tips on how SMEs can make sustainability part of their strategy without sacrificing profit.

Statement of the Problem

This study aims to explore the extent of green accounting adoption, the challenges
faced by SMEs, and its financial implications.

Specifically, this study aims to answer the following:

1. To what extent do SMEs implement green accounting practices?
2. What challenges do SMEs face in adopting green accounting?
3. What is the relationship between green accounting practices and the profitability of
SMEs?

Theoretical Framework

The theoretical framework of this study is based on a foundation in R. Edward

Freeman’s Stakeholder Theory and Jay Barney’s Resource-Based View Theory. These
theories offer a conceptual lens through which the relationship between green accounting
practices and the profitability of SMEs can be explored.

Stakeholder Theory (Freeman, 1984) emphasizes the importance of considering the

interests of all parties involved, which includes the workers, clients, suppliers,
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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

communities, and the environment, in decision-making. Green accounting practices

directly address the concerns of environmental stakeholders by providing a mechanism
for tracking and managing environmental impacts. By adopting green accounting, SMEs
can enhance their reputation and build trust with environmentally conscious stakeholders.
This will promote consumer loyalty, develop stronger ties with suppliers who share their
commitment to sustainability, and make it easier for them to obtain green financing.
Positive stakeholder interactions have the potential to indirectly boost profitability.

Additionally, Jay Barney's Resource-Based View (RBV) suggested that

competitive advantage is derived from valuable, rare, inimitable, and non-substitutable
(VRIN) resources and capabilities of a firm. It can be seen as a resource in the forms of
Green accounting practices. By incorporating environmental costs and benefits into their
accounting systems, SMEs can gain a better understanding of their environmental impact
and identify opportunities for cost reduction and efficiency improvements. This
enhanced resource can lead to improved operational efficiency, reduced waste, and
innovation in sustainable practices, ultimately contributing to increased profitability. If
these green accounting practices are rare among competitors, inimitable due to unique
organizational context, and non-substitutable, they can provide a sustained competitive
advantage.

In context to our study, these theories guide the exploration of how SME owners
and managers perceive and implement green accounting practices, and how such
practices influence their business operations and profitability. In summary, incorporating
these theories highlighted in the current study provide an overview of the relationship
between green accounting practices, stakeholder relationships, institutional pressures, and
the profitability of SMEs.

1
 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

Conceptual Framework

The Conceptual Framework of this study is based on the belief that environmental and
financial sustainability can actually go hand in hand, especially for small and medium
enterprises (SMEs). This research focuses on how Green Accounting Practices relate to
the Perceived Profitability of SMEs.
Green accounting, often called environmental accounting, involves identifying,
measuring, and communicating the costs tied to a company’s environmental impact and
sustainability efforts (Schaltegger & Burritt, 2017). It helps businesses incorporate
environmental factors into their economic decisions, ensuring that they don’t overlook or
push aside environmental costs.
For SMEs, the adoption of green accounting practices is influenced by a mix of
internal factors—like leadership commitment and the availability of financial and human
resources—and external pressures, such as environmental regulations, customer
expectations, and competitive dynamics (Qian, Burritt, & Monroe, 2011). These elements
play a crucial role in determining whether and how these practices are embraced.
As SMEs start to implement green accounting, they are driven by various goals,
including boosting efficiency, meeting environmental regulations, and improving their
corporate image (Jasch, 2009). However, they also encounter challenges, such as limited
technical expertise, financial limitations, and a lack of standardized approaches (Elijido-
Ten, Kloot, & Clarkson, 2010).
The perceived impact on profitability is a key aspect of this framework. While
adopting green practices might involve some upfront costs, many SMEs find that they
can achieve long-term benefits, like cost savings from reduced resource consumption,
increased customer loyalty, and access to green markets (Gadenne, Kennedy, &
McKeiver, 2009). This shift in perspective shows that sustainability can be seen not just
as a cost but as a potential competitive edge and a pathway to long-term profits.
In summary, the conceptual framework illustrates a dynamic and multi-faceted
relationship between environmental accounting and profitability.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

To simplify, here’s a graph of the Conceptual Framework:

Significance of the Study

This study is important because it looks into how green practices can influence the
profitability of small and medium enterprises (SMEs). With environmental concerns
becoming more serious in recent years, it is essential to understand how businesses—
especially SMEs—can balance environmental responsibility with financial success.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

The main purpose of this research is to explore whether adopting environmentally

friendly practices can lead to better business performance. The findings of this study can
help expand current knowledge in business and sustainability, especially in the context of
SMEs.
For SME owners and managers, the study can provide useful information that may
help them decide whether investing in sustainable practices can be beneficial for their
business. If green practices are shown to improve profitability, more business owners might
be encouraged to adopt them.
For policymakers and government agencies, this study may offer valuable insights
that can support the creation of programs, incentives, or policies that encourage SMEs to
go green. It may also highlight which practices are the most cost-effective or beneficial for
small businesses.
For researchers and students, this study can serve as a helpful reference for further
research related to sustainability and business performance. It may inspire studies across
different industries, regions, or business sizes.
Lastly, for environmental advocates, this research may show that environmental
protection and profit-making can go hand-in-hand when sustainable practices are applied
wisely.

Scope and Delimitation

The findings of the study show how green accounting practices affect the profitability
of small and medium enterprises (SMEs). It focuses on the real-life experiences,
perspectives, and insights of SME owners who are either already using or just starting to
explore sustainable and eco-friendly practices in managing their business finances. The
research is limited to selected SMEs based in Aklan and does not include large
corporations or businesses outside the area. Solely the business owners were interviewed
for this study, as they are the primary decision-makers when it comes to both financial and
environmental matters in their own companies.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

This study does not seek to measure profitability by using either exact figures or
numerical data. Rather, it focuses on qualitative insights based on the real-life experiences
of the participants. As a result, the findings are based on personal views and may not fully
represent all SMEs in other areas or fields of business.
Despite these limitations, the study aims to offer a broader perspective of how small
business owners perceive green accounting and how it may influence their financial
performance and sustainability practices.

Definition of Terms
For better understanding and to clearly absorb the content of this study, here is the
list of words which were defined according to how it had been addressed and used in this
research manuscript.

Green Accounting. It denotes the process of including environmental costs and

benefits in financial decision-making. It considers the economic impact of activities related
to energy consumption, waste management, and use of natural resources, which are often
not captured by traditional accounting methods.

Profitability. It specifically refers to the ability of a business to generate earnings

compared to its expenses over a specific period. In this study, profitability focuses on the
financial outcomes or perceived financial improvements experienced by SMEs as a result
of implementing green accounting practices.

Small and Medium-sized Enterprises (SMEs). It pertains businesses that

maintain revenues, assets, or a number of employees below a certain threshold. These
businesses play a significant role in economic development but often face challenges such
as limited access to capital and sustainability resources.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

Stakeholder Theory. It is introduced by Freeman (1984), emphasizes that

businesses should consider the interests of all stakeholders—not just shareholders—
including employees, customers, communities, and the environment, especially in strategic
decisions like adopting green accounting.

Resource-Based View (RBV) Theory. It is a strategic management theory

introduced by Barney (1991) which posits that a firm’s competitive advantage stems from
resources that are valuable, rare, inimitable, and non-substitutable. Green accounting, when
used strategically, can be one such resource.

CHAPTER II

REVIEW OF RELATED LITERATURE

Introduction

Green accounting is a valuable tool to make the environmental management of

companies more effective. Green accounting accounting focuses on the study of
environmental costs and the resulting impacts of environmental management actions.
Environmental accounting has been recognized as a key area of environmental
management by the International Federation of Accountants. Environmental accounting
was also recognized as a key area of international accounting standards by the International
Accounting Standards Committee during the mid-1990s.
Companies are not only economic entities but also social ones, which should grow and
prosper in harmony with surrounding communities. The life of a company is linked with its
surroundings, and to ensure its long-term survival, it should have a healthy relationship
with the surroundings by preserving it.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
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E-mail Add: [email protected]

Green accounting in a company can improve its environmental performance, which can
improve its financial performance. Financial performance is quantified in terms of financial
ratios like Return on Assets (ROA) and Return on Equity (ROE). These ratios reflect the
changes in the financial performance of a company and its efficiency faith of investors in
the asset management of a company.

Foreign Literature

Green accounting, as defined by the United States Environmental Protection Agency (US
EPA), is a vital element capturing environmental spending from the point of view of a
firm's stakeholders. It makes it possible to recognize means to evade or offset costs, aiming
at a long-term goal to enhance environmental quality. Over time, green accounting has
evolved to be linked to increasing economic worth without compromising the environment.
Statistics gathered using green accounting are employed in decision-making within
business, government, and social organizations. Its purpose is to include environmental
benefits and costs within economic decision-making through considering, for instance,
insurance, taxation, rules and regulations, and external financial information.
Green accounting in management accounting is fundamentally linked to numerous
functions such as planning, gathering data, and reporting. Green accounting uses
forecasting analysis in the planning stage to analyze potential environmental effects,
especially in the product life cycle. Green accounting is required in both organizational and
business environments, allowing internal operations in systems that involve and analyze
environmental protection costs. The external activities involve activities such as disclosure,
where organizations release accounting information relating to their environmental
protection activities, hence ensuring accountability and transparency.

Professional Accountants (PAs) define Green Accounting as the practice of including

environmental costs in corporate decision-making, thus grounding such decisions with

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

financial information and metrics related to environmental performance. Green accounting

is a systematic process of recording several elements, such as production costs, inventory
levels, waste handling, and related activity costs, to enable sound corporate decision-
making. Green accounting serves as a holistic approach to enhancing resource
effectiveness, reducing environmental risks, and reducing costs of environmental
protection by leveraging data generated from cost accounting. The use of green accounting
impacts the profitability of a company significantly, which is the excess due to the
difference in selling prices and buying prices or production prices. Operational profitability
as a specific concept pertaining to organizational core activities is needed to evaluate
effectiveness in profit generation. Companies are able to re-invest profits such that
financial growth and continuity may be attained further. Green accounting in the
application of waste management in a factory that manufactures tofu is essential in the
prevention of environmental problems due to poisonous chemicals and pollutants to
ecosystems, humans, and other living organisms. Proper management of waste is important
in a way that environmental pollution and health issues are prevented due to the industrial
activities that involve the production of tofu.

Green accounting is an accounting field which attempts to connect environmental

budgeting aspects with business operating expenses (Putri et al., 2019a). Green accounting
as a tool of communication between companies and the public shows the seriousness of
improving environmental performance. Hertati.L (2022), clarifies that "the application of
green accounting is very important in order to know the changes that occur in
environmental accounting by reporting comprehensive information about financial, social
and environmental aspects, therefore decision makers can receive complete information
related to the environment, so that they can make better decisions.” Environmental
performance measures a company's efforts to minimize negative impact and safeguard the
environment (Maryanti & Hariyono, 2020).

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

Pintea et al. (2019) state that “environmental performance is an important value for most
successful economic entities around the world. Incorporating environmental aspects into
their strategy ensures the economic success of the company's sustainability and is called
sustainable management.” Measuring firm profitability uses green accounting and
environmental performance will provide accurate information regarding the performance of
all operations carried out by the organization, the outcome of research by Hertati et al.
(2019).

The social contract between firms and the societies they are in is a fine illustration of the
application of legitimacy theory. Many studies of green accounting have drawn on the Net
Production Standards prepared by the Chinese Ministry of Ecology and Environment
(Hertati et al., 2022). Profitability analyses based on data on Chinese manufacturing firms
have been prepared in China. The results show that green accounting influences the
business financial health (Sun et al., 2021). The use of proficient environmental accounting
will increase the company's credibility with investors and clients (Kholmi & Nafiza, 2022).
Consequently, the organization's brand identity will be shaped. Thus, the company's
financial performance will improve. Studies on the subject indicate that "green accounting"
can boost company profits (Chasbiandani et al., 2019). This is consistent with research
findings of Putri, H. According to Idayati and Amin (2019), green accounting can increase
revenue.
As previously said, green accounting is a novel technique in accounting science that
includes the environmental impact of business operations into financial reporting (Burritt
and Schaltegger, 2010). Green accounting seeks to assess and report on the environmental
impact of small and medium-sized operations, as well as the costs and benefits of
environmental management (Gray et al., 1993). The term is growing as public knowledge
of environmental and ecological sustainability grows (Astari et al., 2023). Entities, as the
primary players with a significant impact on the environment, must improve their
governance by adopting the sustainability agenda promoted by international institutions
(Egbunike and Okoro, 2018). Green accounting is created as an instrument that supports

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

the sustainability agenda (Cai and Hu, 2024). According to this concept, green accounting
is built as a tool to support the sustainability agenda (Cai and Hu, 2024). The global
reporting initiative (GRI) guidelines are a set of standards for sustainability reporting that
include disclosing the economic, environmental, and social impacts of an organization's
operations (Global Reporting Initiative, 2016). The GRI Guidelines provide a
comprehensive framework that helps entities measure and report environmental
performance in an accountable and transparent manner. Businesses report their
environmental performance through a Sustainability Report that includes GRI indicators,
specifically economic, environmental, and social (Kim and Todorovic, 2013).

CHAPTER III

METHODOLOGY

Research Design

Locale of the Study

Sampling

This study takes a closer look at a non-probability purposive sampling technique, which
is just right for qualitative research aimed at digging deep into the experiences of
participants who have firsthand knowledge of the topic at hand.
We'll be choosing participants based on specific criteria that relate directly to our
research focus. The main respondents will be owners, managers, or accounting staff from
Small and Medium Enterprises (SMEs) that have either embraced or are in the process of
adopting green accounting practices.
Here’s what we’re looking for:
1. The business needs to fit the local industry standards for an SME.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
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2. The enterprise should show at least a basic grasp or application of green

accounting, like keeping track of resource use, managing waste, complying
with environmental regulations, or engaging in sustainable reporting.
3. The business should have been up and running for at least three years, so that
the respondents can share insights on profitability and sustainability over time.

We plan to select around 3 to 4 SMEs for this study. This number is just right for
qualitative research, allowing us to dive deep into each case while keeping the data
collection and analysis manageable.
Our focus will be on SMEs in the Aklan region, chosen through referrals,
business directories, or local government listings. This localized approach will make sure
we have easy access and that our findings are relevant to the context.
By using this purposive method, we ensure that all participants are well-informed
and actively engaged in decisions about green accounting, which will provide us with
valuable insights into its perceived impact on profitability.

Participants of the Study

The participants in this study were business owners of selected small and medium
enterprises (SMEs). The goal of the research is to understand how green accounting
practices affect business profitability, that is why it made the most sense to speak upfront
with the owners, as they are the ones who oversee and in charge of both the financial and
operational decisions of their businesses.
The business owners were selected dependent on their experience in the field, knowledge,
and willingness to discuss the topic. All the owners have been running their businesses for
years and have a basic understanding with or involved in green practices within their
operations.
The participants came from different sectors, such as salad dressing and spiced vinegar
manufacturing, coffee bean production, lettuce farming and production of organic goods.
Some were already taking an action to reduce their environmental impact, like utilizing
energy-conserving equipment or monitoring their waste management. Some were just
starting to consider how sustainability could be incorporated into their business strategies.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

Their perspectives were instrumental in understanding how small business owners view
green accounting—not only as a concept, but also on how it affects their daily operations
and profitability.

Instrument
The research instrument used in this study—such as a survey, questionnaire, or interview
guide—is an important part of the research process. It plays a major role in gathering the
data needed to understand how green practices relate to business profitability. The
instrument helps by: - Accurately measuring important details such as the types of green
practices used by SMEs and how these affect their profits.
- Making sure that responses are consistent and organized, which allows for easier
comparison between different businesses.
- Focusing on questions that are directly related to the study’s goals, so that the data
collected is clear and relevant.
- Being a practical tool that can be used or adapted for future studies, especially those
looking into similar topics.
In short, the research instrument is a key tool that ensures the information gathered is
trustworthy and useful for drawing conclusions in the study.

Data Gathering Procedures

We, the researchers, personally reached out to selected small and medium enterprise (SME)
owners who were open to participating. These business owners were chosen as participants
intentionally, focusing on those who have knowledge or experience related to green
accounting practices.
Before gathering the data, a brief orientation was done to explain the purpose of the study,
how the information would be used, and to assure participants that their responses would

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

be kept confidential. Consent was secured from each participant, either through a signed
form or verbal agreement, depending on what they were more comfortable with.
Primarily, the procedure used for gathering the data was a one-on-one interview. These
interviews were flexible, that means they followed a prepared set of guide questions, but
also allowed room for follow-up questions based on the participant’s answers. This
approach helped the researcher gather in-depth insights while maintaining the conversation
open and natural.
Data Analysis Procedures

Trustworthiness
In qualitative research, building trustworthiness is crucial for ensuring that the
findings are credible and reliable. Since this study revolves around subjective experiences
and interpretations, a variety of strategies will be employed to maintain the integrity of
the data.
To ensure credibility, participants will be carefully chosen based on their
knowledge of green accounting practices and their direct involvement in SME operations.
Semi-structured interviews will be conducted, allowing participants to share their insights
openly, with follow-up questions for clarification and deeper understanding.
Additionally, the researcher will engage in member-checking, giving participants the
chance to review the summarized data or interpretations to verify their accuracy.
Transferability will be enhanced by providing a thorough description of the
research context, the participants, and the data collection process. This will assist other
researchers or readers in assessing how applicable the findings might be to different
settings or groups.
Dependability will be established through consistent and systematic
documentation of the research process. This includes keeping detailed records of the
interview guides, any changes in data collection, and the analysis procedures. An audit
trail will be maintained to track the steps taken throughout the study.
To address confirmability, the researcher will work to minimize bias through
reflective journaling and maintaining transparency in decision-making. Objectivity will
be prioritized by focusing on the actual responses of participants and grounding
interpretations in the collected data.

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

By implementing these strategies, the study aims to uphold the trustworthiness

of its findings and provide valuable insights into the relationship between green
accounting practices and SME profitability.

Ethical Consideration

References
 Astari, D., Purnama, E., & Herawati, S. (2023). Green Accounting in the
Indonesian Context: A Review of the Literature. Journal of Accounting and Finance
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 Burritt, R. L., & Schaltegger, S. (2010). Sustainability accounting and reporting.
Routledge. Retrieved from
https://www.econjournals.org.tr/index.php/ijefi/article/view/17331/8416
 Cai, D., & Hu, Q. (2024). Green Accounting and Corporate Social Responsibility:
A Review of the Literature. Journal of Business Ethics, 125(1), 1-18. Retrieved
from https://www.econjournals.org.tr/index.php/ijefi/article/view/17331/8416
 Chasbiandani, R., Putri, R. D., & Susanti, R. (2019). The Impact of Green
Accounting on Company Profitability: A Study of Manufacturing Companies in
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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
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 Aklan Catholic College
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5600 Kalibo, Aklan, Philippines
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Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

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 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]

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1
 Aklan Catholic College
Archbishop Gabriel M. Reyes St.
5600 Kalibo, Aklan, Philippines
Tel. No: (036) 268-9171
Fax No. (036) 268-4010
Web site: http://www.acc.edu.ph
E-mail Add: [email protected]