Will ISSB follow the footsteps of IASB: An (un)avoidable loose coupling?

The recent years have witnessed significant economic, governmental, and social changes affecting international accounting. Accounting organizations are forming a variety of loosely coupled interorganizational connections with the IASB at the helm. In this article, functions and structures of loose coupling arrangement of IASB are analyzed based on the extent to which they are deployed to achieve common strategic goals while still allowing flexibility for national control over domestic accounting needs. Building upon previous literature, this study unpacks the loose coupling arrangement in IASB and examine the underlying dynamics features within the field of international accounting organizations. This paper analyzes the IASB and its member states as a worldwide institutional phenomenon constructed by the properties of isomorphism pressure jointly exerted upon them, and by the properties of national specific conditions separately constraining them. The study concludes that while international accounting organizations, due to its normative isomorphism, has formed a strong community in their world society, but the legitimation of their outcomes is subject to bounded rationality, national constrains, and ideological contradictions.