Role Of Digital Accounting Transformation And Supply Chain Integration In Enhancing Financial Market Participation And Entrepreneurial Sustainability

Abstract

Digital accounting and digitally integrated supply chains are often treated as separate operational projects, yet both determine whether small and medium-sized enterprises (SMEs) can produce credible information, demonstrate execution capacity, and engage repeatedly with formal financial markets. This study develops an integrative capability framework explaining how digital accounting transformation and supply chain integration jointly enhance financial market participation and entrepreneurial sustainability. A transparent integrative literature review was conducted using 30 peer-reviewed and authoritative institutional sources published between 1991 and June 2026. The corpus was coded for focal construct, mechanism, financing outcome, sustainability outcome, and boundary condition. The synthesis shows that digital accounting primarily improves timeliness, comparability, traceability, and verifiability of financial information, while supply chain integration converts information quality into operational evidence through coordinated procurement, inventory, sales, receivables, and partner relationships. Their complementarity reduces information asymmetry and transaction costs, strengthens forecasting and cash-flow credibility, and improves readiness for bank credit, trade and asset-based finance, fintech assessment, equity, and sustainable finance. Financial market participation then supports resilience, innovation, responsible growth, and environmental and social value creation; however, the pathway is weakened by poor data governance, capability gaps, cybersecurity exposure, incompatible systems, algorithmic bias, and power asymmetry with dominant partners. Six theory-grounded propositions and a five-stage implementation pathway are proposed. The paper contributes by repositioning accounting systems and supply-chain integration as mutually reinforcing market-participation capabilities rather than isolated efficiency tools. It also offers an auditable research agenda for longitudinal, multi-country testing.