Project description:The improvement of enterprise ESG performance is one of the key driving forces to achieve the goal of economic and social green development. There is a gap between knowledge and practice in the ESG performance of Chinese enterprises, and digital transformation (DT) provides new ideas for ESG development. The research purpose of this paper is to explore the impact mechanism of DT on ESG and the specific path of DT to drive ESG. It provides a reference for listed enterprises to rely on DT to empower their sustainable development capability. This paper takes the panel data of A-share listed enterprises from 2011 to 2021 as the sample and measures the core indicators using the text mining method, modified Jones model, and Roy-Chowdhury model. On this basis, using a combination of econometric models and qualitative comparative analysis, we empirically analyze the impact mechanisms of DT on ESG as well as the specific grouping paths that drive ESG performance. The main conclusions are shown as follows. First, DT can significantly reduce ESG, with an impact coefficient of - 0.013, which is significant at the 5% level. It reflects that the DT of enterprises at this stage has certain deficiencies. There is a matching lag in the enterprise's internal organizational resources. The entry of digital technology will have a certain impact on traditional operations, and the high uncertainty of DT adds some hidden costs to the enterprise. Secondly, there is an indirect suppression effect of accrued earnings management (AEM) in the transmission mechanism of DT affecting ESG. It is verified that DT can reduce information asymmetry and inhibit EM activities, thus reducing the impact on ESG. Finally, a total of six configurations achieved high ESG valuations. High technology practice-low performance manipulation; digital intelligence-low performance manipulation; digital intelligence-digital resources; digital resources-inadequate digital infrastructure.; high technology practice-bottom technology deficiency; digital intelligence-high performance manipulation. Through configuration analysis, the suppression effect of EM is further verified. The lack of AEM is usually the core condition of the high-valuation group. Meanwhile, digital intelligence, digital resources, and digital technology practice can drive the improvement of enterprise ESG. The instrumental variables approach and robustness tests support these findings.
Project description:In this study, based on the data of the Chinese listed firms, the effect of digital transformation on capital mismatch was examined. And the potential mechanism was also further discussed. It was found that digital transformation can significantly suppress capital mismatch, especially for non-state-owned enterprises, mature enterprises, and regions with high marketization and financial technology level. In addition, management capability and information environment are potential influencing mechanisms of digital transformation to suppress capital mismatch. These findings have important implications for revealing the relationship between enterprise digital transformation and capital mismatch, provides new ideas for improving the efficiency of capital allocation, and also provides important insights for enterprises to accelerate digital transformation and promote the high-quality development of enterprises.
Project description:Digital transformation constitutes a crucial component of the digital economy and represents a microcosmic manifestation, playing a vital role in advancing enterprise sustainable development from the perspective of green innovation quality. Using the panel data of Chinese listed companies from 2011 to 2020, the study examines the impact of digital transformation on the quality of green innovation. The study finds that digital transformation significantly increases the green innovation quality of enterprises. Moreover, the positive effect of digital transformation on green innovation quality is strengthened by the executive with digital knowledge experience and in regions with high-level intellectual property protection. The study findings contribute to digitalization research and the literature on green innovation, and provide suggestions for managers and policymakers seeking to improve the quality of environmental sustainability through digital transformation in developing economies.
Project description:During the transformation and upgrading of enterprises, executives' social capital provides useful access to resources through merger and acquisition (M&A) strategies. This study examines 145 M&A events of Chinese listed media enterprises undergoing transformation and upgrading as research samples. It empirically analyzed the impact of executives' social capital on short-term and long-term M&A performance from three aspects: corporate social capital (CSC), political social capital (PSC), and financial social capital (FSC). It also confirmed the moderating effect of corporate ownership structure, exploring the mechanism of executives' social capital during the period of transformation and upgrading. Based on the empirical results, we found that: (1) CSC significantly enhances short-term M&A performance but has no significant effect on long-term performance; (2) PSC positively influences both short-term and long-term M&A performance. State-owned media enterprises may gain relatively fewer benefits from PSC in the short term after M&A, but they can accrue more significant benefits in the long term post-M&A; (3) FSC does not affect short-term M&A performance but exerts a negative impact on long-term performance. The negative effect is even more pronounced in state-owned enterprises. This study complements existing research on executives' social capital during the transformation and upgrading of enterprises. It provides a reference for media enterprises in China and other emerging economies to utilize executives' social capital.
Project description:The digital transformation of enterprises has brought great changes to the audit service demand of enterprises and the audit service supply of auditors. Therefore, there is a pressing need to study the digital transformation of enterprises and its impact on auditor switch. This paper aims to explore the influence of enterprise digital transformation on auditor switch and its potential implications for improving auditor efficiency. Using Python's machine learning tools and text analysis methods, This paper measure the digital transformation of Chinese listed companies and study the impact of digital transformation on the frequency of auditors witches. Our findings suggest that companies that have undergone digital transformation have reduced the frequency of changing auditors by alleviating information asymmetry, enhancing the effectiveness of companies' internal controls and increasing audit fees. This unique measurement mode of digital transformation provides new evidence for the relationship between the audit service demand of enterprises and the audit service supply of auditors under the digital transformation environment. The research can assist businesses in understanding how digital transformation affects auditing professionally and in improving their audit processes accordingly.
Project description:Corporate financialization poses serious challenges to the development of the real economy. In the context of promoting the deep integration of the digital economy and the real economy, it is crucial to explore whether digital transformation can inhibit corporate financialization. Using data from Chinese listed companies from 2009 to 2021, we construct a fixed effects model and find that digital transformation significantly reduces the level of corporate financialization, a conclusion that still holds after a series of robustness tests such as propensity score matching and adding control variables. Channel analysis shows that that digital transformation inhibits corporate financialization by enhancing the information mobility and operational capability of corporations. In addition, this effect is more pronounced at higher levels of industry competition as well as marketization. Finally, we also find structural differences in the impact of digital transformation on corporate financialization. Our study explores the determinants of corporate financialization in terms of a firm's mode of operation and type of strategy, and the findings provide a theoretical basis for the active development of digital technologies in emerging markets that are undergoing economic transitions, as well as for guarding against the shift of the economy from the real to the virtual.
Project description:Digital transformation, as a significant shift in optimizing enterprise resource allocation and enhancing information connectivity, offers the opportunity to stimulate the endogenous dynamics of corporate green governance. Employing a sample of 3,002 listed companies in China, a fixed-effects model, and the entropy power method to formulate a green governance index system, this study examines how digital transformation affects corporate green governance concerning carbon peaking and carbon neutrality objectives. According to these findings, the implementation of the digital transformation improves corporate green governance, each unit increase in digital transformation correlates with a 1.91% enhancement in green governance. Moreover, an examination of the mechanisms shows that green governance can be promoted by addressing information asymmetry and enhancing operational efficiency. Additionally, the association between corporate green governance and digital transformation is moderated favorably by strategic aggressiveness. Furthermore, our results indicate that digital transformation contributes significantly to the advancement of green governance within enterprises located in areas with high digital financing and strong technology integration capacities. Digitalization has a stronger effect on promoting green governance for enterprises in pilot regions than in non-pilot regions in terms of carbon emission trading. This study not only assists enterprises in elucidating the developmental trajectory of digital transformation amid carbon peaking and carbon neutrality goals but also provides a reference for decision-making on how digital technology can empower corporate green governance and promote sustainable economic growth.
Project description:With the rapid development of technologies such as cloud computing and big data, various levels of government departments in the country have successively introduced digital subsidy policies to promote enterprises' digital transformation. However, the effectiveness of these policies and their ability to truly achieve policy objectives have become pressing concerns across society. Against this backdrop, this paper employs a moderated mediation effects model to empirically analyze the incentive effects of financial subsidies on the digital transformation of A-share listed manufacturing companies in the Shanghai and Shenzhen stock markets from 2013 to 2022. The research findings indicate a significant promotion effect of financial subsidies on the digital transformation of manufacturing enterprises, especially demonstrating a notable incentive impact on the digital transformation of large enterprises, non-asset-intensive enterprises, technology-intensive enterprises, and non-labor-intensive enterprises. However, the incentive effect on the digital transformation of small and medium-sized enterprises (SMEs), asset-intensive enterprises, non-technology-intensive enterprises, and labor-intensive enterprises is not significant. Notably, the expansion of financial subsidies positively influences the augmentation of R&D investment within manufacturing enterprises, subsequently providing indirect encouragement for their digital transformation. Additionally, the incorporation of the degree of marketization implies its potential to moderate both the direct and indirect impacts of financial subsidies on enterprise digital transformation. This study enriches the research on the mechanism of the role of financial subsidies in digital transformation and provides empirical evidence on how market participation influences the effects of financial subsidies, thereby assisting policymakers in comprehensively understanding the impact of financial subsidy policies on different types of enterprises.
Project description:Digital transformation is crucial for sustainable development of enterprises and for addressing the conundrum of "efficiency and environment". Utilizing a dataset from A-share listed companies in China from 2007 to 2021, this paper investigates the direct impact, underlying mechanism and driving effect of enterprise digital transformation on carbon emission intensity. The findings reveal that: (1) At this stage, digital transformation in listed companies effectively reduces their carbon intensity, but the relationship between the two is not linear; instead, it exhibits a U-shaped trajectory, initially decreasing then increasing. (2) Analysis of mechanism indicates that costs associated with environmental governance and innovations in green technology serve as critical pathways through which corporate digital transformation influences carbon intensity. (3) The analysis of driving effect suggests that the digital transformation significantly curtails the carbon emission intensity of both upstream and downstream enterprises as well as those within the same industry and geographical region, through industrial linkage and the cohort effect. (4) Heterogeneity analysis elucidates that the digital transformation of enterprises in regions with stronger government environmental regulations has a markedly more pronounced effect on reducing the carbon emission intensity. Furthermore, the carbon emission reduction effect of digital transformation is more potent in capital-intensive and technology-intensive enterprises compared to labor-intensive enterprises. This paper offers valuable insights for fostering enterprise digital transformation and promoting green, low-carbon development aligned with the "dual-carbon" strategy.
Project description:Based on China's transaction-level trade data and firm-level production data during the period 2000-2006, this paper firstly estimates the export cutoff productivity by applying non-parametric ROC method. The results are as follows. First, under the full sample, the export cutoff productivity is 7.051. Second, the export cutoff productivity of home enterprises is relatively low, and that of foreign enterprises is relatively high. Third, the export thresholds of capital-intensive and technology-intensive industries are relatively high, while that of labor-intensive industry is relatively low. Fourth, the export threshold of western provinces is relatively high, followed by central provinces and eastern provinces. In addition, this paper investigates the dynamic change of export threshold. The result indicates that the evolution of export threshold is generally a horizontal S-shape during the sample period, and after China's accession to WTO in 2001, it is an inverted U-shape.