Accounting Digital Transformation and Resistance in Indonesian MSMEs: Challenges and Inhibiting Factors

Abstract

Introduction/Main Objectives: This article examines resistance to digital accounting transformation among Indonesian MSMEs, contributing over 60% of GDP but still relying heavily on manual records. Background Problems: A gap remains between digital potential and actual adoption, requiring identification of key barriers. Novelty: The study integrates UTAUT2 and Innovation Resistance Theory, incorporating human resources, costs, digital literacy, and organizational culture. Research Methods: A thematic narrative literature review analyzes studies and policy reports from 2020–2026. Finding/Results: Major barriers include comfort with manual methods, limited digital skills, cost perceptions, low accounting knowledge, and inherited recording culture. Quadruple Helix collaboration reduces resistance. Conclusion: Digital accounting requires gradual, contextual, collaborative transformation supported by training, mentoring, affordable infrastructure, supportive fiscal policies, and government support.