ABSTRACT
The ecological implications for sustainability accounting are that, for accounting rule changes to materialize, there have to be corresponding increases in variations of sustainability assumptions that would allow for the replacement of existing assumptions. Organizational ecology is a sociological deterministic approach for the study and analysis of the evolutionary process of growth, change, survival and death in organizations. According to the structural functional framework, when organizations search for legitimacy, they adopt structures and procedures that are acceptable in their political and social environment. It is necessary to note that the most important source of information on sustainability is incorporated under external reporting requirements. These include generally accepted accounting principles (GAAP) and the Sarbanes-Oxley Act of 2002. The ecological approach has examined the development of sustainable financial and management accounting reporting as evolutionary in that it follows a staged growth process in the preparation and disclosure of social and environmental information in financial (external) accounting reports.
