This chapter discusses the empirical environmental factors which include political, economic, cultural, technical and outside factors, on the development of Chinese accounting. It examines Hofstede's and Trompenaars' cultural values. The chapter evaluates the link between Gray's accounting values and Hofstede's cultural dimensions. Alhashim and Arpan classified environmental influences on accounting into sociocultural conditions, legal and political conditions and economic conditions. Hofstede is the pioneer of culture researchers and his model is widely accepted as the analytical tool to diagnosis the cultural influences on not just accounting, but other disciplines. Based on the Chinese Value Survey conducted by Michael Bond in twenty two countries, Hofstede and Michael Bond found a cultural dimension, "Confucian Dynamism", which indicates whether a society has a long-term orientated or short-term orientated value. Gray tried to link societal values to accounting values. He analysed the relationship between accounting values and Hofstede's societal values.