Material Flow Cost Accounting in Developing Countries: A Systematic Review

Thuy Thanh Tran and Christian Herzig
Additional contact information
Thuy Thanh Tran: Department of Management in the International Food Industry, University of Kassel, Steinstraße 19, 37213 Witzenhausen, Germany
Christian Herzig: Department of Management in the International Food Industry, University of Kassel, Steinstraße 19, 37213 Witzenhausen, Germany

Sustainability, 2020, vol. 12, issue 13, 1-18

Abstract: This study aims to provide a better understanding of material flow cost accounting (MFCA) application in developing countries, which are characterized by rapid structure transformation leading to serious environmental problems. By systematically reviewing the existing literature, our analysis of 28 studies from nine developing countries (China, Indonesia, Iran, Malaysia, South Africa, Sri Lanka, Thailand, the Philippines, and Vietnam) shows that MFCA research has primarily focused on Asian developing countries. Moreover, while the use of MFCA is often associated with improving eco-efficiency, the reviewed studies also indicate a high relevance for strategic decision-making processes within organizations. Finally, one of the key challenges in MFCA application reported in developing country studies lies in existing accounting systems with limited data availability and insufficient cost allocation. Based on our findings and gaps identified in the MFCA literature, we suggest paths for further research, including the necessity of quantitative research and comparative analysis of MFCA application across countries, the further investigation of MFCA application in small and medium-sized enterprises as well as in various manufacturing and service sectors in developing countries.

Keywords: material flow cost accounting; MFCA; developing countries; systematic review (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
https://www.mdpi.com/2071-1050/12/13/5413/pdf (application/pdf)
https://www.mdpi.com/2071-1050/12/13/5413/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:12:y:2020:i:13:p:5413-:d:380278

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().