Does Blue Accounting Enhance Firm Value Through Sustainable Performance and Social Legitimacy?

Yohanes Zefnath Warkula; Grace Persulessy; Karnita  Ganay; Tikini  Selfara

doi:10.33395/owner.v10i4.3526

Authors

Yohanes Zefnath Warkula
✉ Corresponding author: anezeft.1004@gmail.com Universitas Pattimura PSDKU Kepulauan Aru
Grace Persulessy Universitas Kristen Indonesi Maluku, Ambon
Karnita Ganay Universitas Pattimura PSDKU Kepulauan Aru
Tikini Selfara Universitas Pattimura PSDKU Kepulauan Aru

DOI:

https://doi.org/10.33395/owner.v10i4.3526

Keywords:

Blue Accounting, Blue Economy, Firm Value, Social Legitimacy, Sustainable Performance

Abstract

This study investigates the effect of Blue Accounting on Firm Value through the mediating roles of Sustainable Performance and Social Legitimacy in island-based fishing enterprises in the Aru Islands, Indonesia. Island-dependent marine enterprises in developing archipelagic economies operate under conditions of high ecological vulnerability and limited corporate transparency, creating a compelling context in which Blue Accounting may serve as a critical driver of firm value. A quantitative explanatory design was employed, analysing data from a census survey of 319 employees across nine fishing companies in Dobo, Aru Islands, conducted during the 2024 fiscal year. Analysis using Partial Least Squares Structural Equation Modeling (PLS-SEM) reveals that Blue Accounting positively and significantly influences Firm Value (? = 0.217), Sustainable Performance (? = 0.577), and Social Legitimacy (? = 0.659). Both mediators significantly enhance Firm Value. Specifically, Sustainable Performance partially mediates the Blue Accounting-Firm Value relationship (? = 0.144), and Social Legitimacy serves as the dominant mediating pathway (? = 0.274), indicating that legitimacy-building through transparent ocean-oriented accounting constitutes the most impactful value-creation mechanism. Fishing companies are advised to institutionalise Blue Accounting systems as a strategic tool to strengthen sustainability performance, build social legitimacy, and thereby enhance firm value through distinct mediating pathways. Policymakers should mandate sustainability disclosure for marine enterprises in ecologically sensitive island regions. This study provides the first empirical evidence of Blue Accounting’s effect on Firm Value through parallel mediation in Indonesian island fishery enterprises, extending Legitimacy Theory and the Natural Resource-Based View (NRBV) to the blue economy domain

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Author Biographies

Yohanes Zefnath Warkula, Universitas Pattimura PSDKU Kepulauan Aru

Program Studi Akuntansi

Grace Persulessy, Universitas Kristen Indonesi Maluku, Ambon

Program Studi Akuntansi

Karnita Ganay, Universitas Pattimura PSDKU Kepulauan Aru

Program Studi Akuntansi

Tikini Selfara, Universitas Pattimura PSDKU Kepulauan Aru

Program Studi Akuntansi

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